China unveils measures to build Shanghai into international financial center

China's Shanghai will basically evolve into an international financial center that matches the country's overall strength and global influence over the next five to ten years, according to a recent official guideline.

The eastern metropolis is expected to see remarkable improvements in the adaptability, competitiveness and inclusiveness of its modern financial system, and its functions as a financial opening-up hub will be significantly strengthened, according to the guideline on support measures for accelerating the building of Shanghai into an international financial center issued by the Central Financial Commission.

To achieve the goals, the guideline emphasizes the importance of developing Shanghai's financial market, calling on the sci-tech innovation board of the Shanghai Stock Exchange to play a more important and inclusive role in promoting hard technology. The guideline also stresses supporting the Shanghai Futures Exchange in its evolution into a world-class exchange.

Shanghai will work to attract a diverse range of legal entities and branches from both domestic and international major financial institutions, as well as licensed specialized institutions. The city will foster and draw in robust, regulated financial holding companies and encourage the establishment of international financial organizations, according to the guideline.

While building a globally leading financial infrastructure system, the city will strengthen the development of the cross-border RMB payment and settlement systems. It will steadily expand institutional opening up in the financial sector and fully align itself with international trade and economic standards.

Additionally, Shanghai will advance the development of green finance standards in line with international practices, and participate in international cooperation on green finance. The city will also strive to ensure financial security amid its opening-up efforts by utilizing technologies such as blockchain, big data and artificial intelligence, according to the guideline.

To implement the guideline, the National Financial Regulatory Administration and the Shanghai municipal government have issued an action plan, which introduced a series of measures aimed at enhancing the competitiveness and influence of Shanghai as an international financial center. These measures encompass areas such as improving financial services, expanding institutional opening up, and strengthening financial regulations.