Chinese vice premier calls for creating sound environment for small banks

Chinese Vice Premier Liu He has called for efforts to create a sound institutional environment for the healthy development of small and medium-sized banks.

During a tour to Hangzhou, the capital city of east China's Zhejiang Province, from Thursday to Friday, Liu said the performance of Chinese small and medium-sized banks is "generally stable" at present.

Those banks play an important role in the banking system, and are an important force for the development of inclusive finance, serving the private sector and small and micro enterprises, he said at a meeting.

"Small and medium-sized banks should find their accurate position, and stick to the path of professional development by serving primary-level entities and the real economy," Liu said.

The country should create a sound institutional environment for the healthy development of those banks, improve the credit system and solve the problem of asymmetric information, he added.

During the tour, Liu also presided over a symposium on strengthening basic research, saying that the country must effectively transform government functions and accelerate reform of the scientific research system.