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The two-day Lujiazui Forum, which ended Saturday, drew more than 700 top Chinese policy makers and financial-industry professionals to discuss how the city might transform itself into a peer of Hong Kong, New York and London.
http://online.wsj.com/article/SB124259885772428149.html
Shanghai Daily has the attendance at 300
http://www.shanghaidaily.com/sp/arti...cle_401060.htm
http://www.lujiazuiforum.org/
http://online.wsj.com/article/SB124259885772428149.html
The two-day Lujiazui Forum, which ended Saturday, drew more than 700 top Chinese policy makers and financial-industry professionals to discuss how the city might transform itself into a peer of Hong Kong, New York and London.
[..]
A higher-profile role for China is important, People's Bank of China Governor Zhou Xiaochuan said at the conference Friday. He said the current financial and economic crisis "can't be solved under the traditional G7 structure" -- a reference to the Group of Seven leading nations, all of which are developed Western nations except for Japan.
Still, Mr. Zhou also urged his fellow policy makers to set goals and a coherent strategy to capitalize on that influence through the Group of 20 nations and the International Monetary Fund. "Do we really understand what we really need?" he said. "What are China's suggestions and where do we stand?"
[..]
How to make fuller use of trade finance, credit cards, insurance, venture capital and other straightforward products and tools dominated talk at the conference, not consideration of exotic financial innovation. One official suggested a share listing for the Shanghai Stock Exchange itself, and a banker raised the idea of bonds denominated in yuan that might be sold overseas.
But policy makers seemed in no mood to push aggressively into more complicated services. "We don't discuss universal banking," or a financial supermarket that offers a full menu of services inside one firm, said Liu Mingkang, chairman of the China Banking Regulatory Commission. Financial derivatives, he added, "undermined prudential regulation."
[..]
Few at the conference challenged the notion that Shanghai could emerge as a key finance base, but there was widespread debate about how much central-government policy makers are willing to reduce regulations that have kept the financial system underdeveloped relative to China's industrial might.
[..]
For many, Shanghai won't rival other global centers until there is more scope for capital to easily move in and out of China. That essentially would require that the yuan becomes a convertible currency. Yet some participants urged Beijing not to get distracted by currency issues, maintaining that Shanghai can make big strides before it tackles risky currency adjustments.
To foster what Shanghai officials call "an enabling environment" for financial-services firms, officials note their plans to work around some central-government policies. Officials have told bankers they will implement policies that would help offset income tax rates as high as 45%, for instance, by rebating payments to high-income bankers willing to relocate to the city, according to several sources.
[..]
A higher-profile role for China is important, People's Bank of China Governor Zhou Xiaochuan said at the conference Friday. He said the current financial and economic crisis "can't be solved under the traditional G7 structure" -- a reference to the Group of Seven leading nations, all of which are developed Western nations except for Japan.
Still, Mr. Zhou also urged his fellow policy makers to set goals and a coherent strategy to capitalize on that influence through the Group of 20 nations and the International Monetary Fund. "Do we really understand what we really need?" he said. "What are China's suggestions and where do we stand?"
[..]
How to make fuller use of trade finance, credit cards, insurance, venture capital and other straightforward products and tools dominated talk at the conference, not consideration of exotic financial innovation. One official suggested a share listing for the Shanghai Stock Exchange itself, and a banker raised the idea of bonds denominated in yuan that might be sold overseas.
But policy makers seemed in no mood to push aggressively into more complicated services. "We don't discuss universal banking," or a financial supermarket that offers a full menu of services inside one firm, said Liu Mingkang, chairman of the China Banking Regulatory Commission. Financial derivatives, he added, "undermined prudential regulation."
[..]
Few at the conference challenged the notion that Shanghai could emerge as a key finance base, but there was widespread debate about how much central-government policy makers are willing to reduce regulations that have kept the financial system underdeveloped relative to China's industrial might.
[..]
For many, Shanghai won't rival other global centers until there is more scope for capital to easily move in and out of China. That essentially would require that the yuan becomes a convertible currency. Yet some participants urged Beijing not to get distracted by currency issues, maintaining that Shanghai can make big strides before it tackles risky currency adjustments.
To foster what Shanghai officials call "an enabling environment" for financial-services firms, officials note their plans to work around some central-government policies. Officials have told bankers they will implement policies that would help offset income tax rates as high as 45%, for instance, by rebating payments to high-income bankers willing to relocate to the city, according to several sources.
http://www.shanghaidaily.com/sp/arti...cle_401060.htm
"As the global financial scenario changes and China's economic status is boosted, Shanghai must make every effort to use this precious chance to develop itself into an international financial center," Shanghai Party Secretary Yu Zhengsheng told the Lujiazui Forum 2009 yesterday. "It is the inevitable choice for Shanghai's long-term sustainable development."
This year's gathering of more than 300 government officials, business executives and scholars - billed as China's Davos - will focus on ways to help Shanghai achieve its development plans amid the global economic downturn.
The State Council - China's Cabinet - issued a guideline in late March aimed at developing Shanghai into a major global financial and shipping hub by 2020, giving the city priority to carry out financial innovation as well as other preferential policies.
"We will work with the central government in the effort for Shanghai to become the pioneer and test site for China's financial reform and innovation," Yu told the forum at the Pudong Shangri-La hotel.
[..]
"Shanghai has a relatively complete financial system, and it's a strategic and realistic move to speed up the establishment of a (world financial) center against the financial crisis," said Liu Mingkang, chairman of China Banking Regulatory Commission.
He said innovation is crucial for helping China's financial sector combat the world downturn, adding that all financial institutions need to enhance innovation in risk management.
Wu Dingfu, chairman of the China Insurance Regulatory Commission, said the insurance sector will play an important role in building the local financial hub.
"We are focused on developing Shanghai into an innovation and R&D center for insurance products, an insurance management and back-up service center and as a pilot city for insurance capital reforms," Wu said.
This year's gathering of more than 300 government officials, business executives and scholars - billed as China's Davos - will focus on ways to help Shanghai achieve its development plans amid the global economic downturn.
The State Council - China's Cabinet - issued a guideline in late March aimed at developing Shanghai into a major global financial and shipping hub by 2020, giving the city priority to carry out financial innovation as well as other preferential policies.
"We will work with the central government in the effort for Shanghai to become the pioneer and test site for China's financial reform and innovation," Yu told the forum at the Pudong Shangri-La hotel.
[..]
"Shanghai has a relatively complete financial system, and it's a strategic and realistic move to speed up the establishment of a (world financial) center against the financial crisis," said Liu Mingkang, chairman of China Banking Regulatory Commission.
He said innovation is crucial for helping China's financial sector combat the world downturn, adding that all financial institutions need to enhance innovation in risk management.
Wu Dingfu, chairman of the China Insurance Regulatory Commission, said the insurance sector will play an important role in building the local financial hub.
"We are focused on developing Shanghai into an innovation and R&D center for insurance products, an insurance management and back-up service center and as a pilot city for insurance capital reforms," Wu said.