China, EU seek greater global regulatory convergence in financial sector

BRUSSELS, July 4 (Xinhua) -- China and the European Union agreed to work towards greater global regulatory convergence in the financial sector at their third Economic and Financial Dialogue here on Wednesday.
"The two sides agreed to work towards greater global regulatoryconvergence including sound international standards and principles-based regulation with a view to promoting efficiency, competition and to strengthen investor protection and financial stability," reads the joint statement issued after the one-day meeting.
Both China and the EU expressed their willingness to work closely, to develop their financial relations and to expand cooperation whenever possible. They agreed to strengthen their cooperation in the reform and supervision of the financial sector.
The Chinese side, led by Vice Minister of Finance Zhu Zhigang, said measures have been taken by China to strengthen reforms in the financial sector, such as increasing the capital adequacy ratio, improving the corporate governance of financial institutions and promoting information disclosure.
The Chinese side also reaffirmed its commitment to advancing financial sector reforms by deepening opening-up policies, strengthening prudent supervision and risk prevention, enhancing transparency and improving the legal framework of financial sectorsupervision.
EU participants, including EU Commissioner for Economic and Monetary Affairs Joaquin Almunia, highlighted the progress achieved in the 27-nation bloc's financial sector integration and the development of its financial markets, stressing the importanceof enhanced supervisory convergence, of creating more competition between service providers, and of better positioning the EU in theglobal context.
The China-EU Economic and Financial Dialogue was officially launched in February 2005, thus creating a new channel for the twosides to conduct cooperation in broad economic policies and financial areas. It also serves as a significant platform to increase mutual understanding, promote cooperation and enhance theall-round strategic partnership between China and the EU.
The Fourth China-EU Economic and Financial Dialogue will be held in China next year. Enditem