Speech by CBRC Chairman Shang Fulin at the China-Czech Financial Cooperation Forum


Honorable Deputy Prime Minister Bĕlobrádek,

Honorable Governor Singer,

Ladies and Gentlemen:

Good morning!


It is of great honor to have this opportunity to come to Prague, a beautiful city, in this spring to co-organize the China-Czech financial cooperation forum under ‘the belt and road’ initiative. On behalf of the Chinese delegates, I would like to extend my sincere thanks to the Czech National Bank for your preparation for this forum.


China and Czech Republic have special and historical bonds. Czech Republic was one of the first countries to establish diplomatic relations with People’s Republic of China. In recent years, the bilateral relation has been moving forward very fast and the two sides have conducted extensive and mutually beneficial cooperation in fields such as trade and finance. At present, great potential is being released in deepening bilateral ties and strong cooperative willingness is seen in many areas. The CBRS and Czech National Bank have kept close and good cooperation. Last year in Beijing, I had a constructive conversation with Governor Singer of Czech National Bank, and Vice-Governor Tomšík. Today, we are going to sign the Statement of Cooperation on Cross-Border Crisis Management with Czech National Bank, and this will promote the regulatory cooperation of our two countries to go further and deeper.


I would like to take this extraordinary opportunity to introduce the major achievements made in the reform and development of the Chinese banking sector. First, it effectively supports the improvement of quality and efficiency of China’s real economy. As a part of the service industry, finance should in the first place support the development of the real economy. At present, the Chinese banking sector has about 20 categories of institutions, 4393 legal entities and 220,000 domestic branches, and it has formed a system in which development banks, policy banks, large commercial banks, urban and rural small-to-medium sized banks, foreign banks, various sorts of non-bank financial institutions and trust companies enjoy common development. This system provides effective support for the Chinese economy to accommodate development changes and structural optimization. Second, constantly strengthening and improving banks’ risk management, internal control, and external supervision, holding the bottom line of guarding against systemic and regional financial risks, and using various ways to guarantee the stable development of the banking sector. Third, the efficiency of the financial service keeps improving. We continue to improve the reform and opening up of the banking sector, actively enlarge the inflow of private capital into the banking sector, and promote the reform of the corporate governance structure and business management structure of the banking sector. We have eased the requirement for foreign banks’ market access into the Chinese market, launched Free Trade Area (FTA) pilot programs for banking sector to open up and innovate, and achieved positive progress. Fourth, the regulatory efficiency continues to be enhanced. We take enhancing regulatory efficiency as top priority, improve rules and regulations and enrich regulatory tools. We highlight the focus of supervision, actively participate in international regulatory cooperation, optimize the banking sector’s regulatory framework, and make regulatory coordination more effective.


The achievements made in the reform and development of the Chinese banking sector and the progress in our supervision and regulation provide strong financial support for implementing the Belt and Road Initiative. Chinese banks have optimized their layout in the ‘Belt and Road’ countries, and enhanced financial support to the construction of related projects.


By the end of 2015, 9 Chinese banks have set up 56 branches in 24 Belt and Road countries. The CBRC actively expands and deepens the cross-border regulatory cooperation with the ‘Belt and Road’ countries and explores new modes of opening-up of our banking sector. Up till now, the CBRC has signed MOUs with 28 regulators of the ‘Road and Belt’ countries.


Czech Republic is an important country in the ‘Road and Belt’ region. Chinese banking sector has paid great attention to the financial cooperation with Czech Republic, and the two sides keep good cooperation relations. Under the great support of the Czech Republic government, Bank of China has established its Prague branch in August 2015, which has built a more convenient financial platform for economic and trade cooperation between China and Czech Republic. It will help more Chinese investors enter the Czech market and facilitate further cooperation, and provide better financial services. In the meantime, consumer credit businesses of Home Credit of the PPF Group have been conducted in 14 provinces and more than 150 cities in China, with a total credit of more than RMB 20 billion Yuan. Today, China Banking Association and Czech Banking Association will sign the MOU, and Bank of China and the PPF Group will sign cooperative agreement, which symbolizes that the financial cooperation of the two countries will be deepened.


Ladies and gentlemen,

Located in the heart of Europe, Czech enjoys convenient communication, good infrastructure, solid industrial base and well-educated population. The implementation of the Road and Belt initiative will definitely provide a broader space and a better platform for financial cooperation of the two countries. In the future, the CBRC will encourage the Chinese banking sector to develop innovative and diversified financial products and provide financial support for the cooperation at different levels, in different areas and of different modes under the Belt and Road Initiative proposed by Chinese President Xi Jinping, following the ‘innovative, balanced, green, open and sharing’ development concept. Qualified Czech financial institutions and financial institutions from all ‘Belt and Road’ countries are welcome to establish branches in China to expand and deepen business cooperation.


Both Czech and Chinese people believe in “no pains, no gains”. With respect to regulatory cooperation, the CBRC is willing to strengthen cross-border regulatory cooperation and information exchange with Czech National Bank and regulators of related countries, so as to provide strong regulatory support for the cooperation and sustainable development of the banking sector. We firmly believe that if we make joint efforts and work together, our financial cooperation and economic and trade development will have a bright future.


Thank you all.




Copyright: China Banking Regulatory Commission
ADDR:Jia N0.15 Financial Street, Xicheng District, Beijing, 100033