China and the United States recently held the fifth meeting of their Economic and Financial Working Groups in Shanghai, signaling a continued commitment to dialogue amidst global economic uncertainties.
The meeting, co-chaired by Xuan Changneng, Deputy Governor of the People’s Bank of China (PBOC), and Brent Neiman, Deputy Under Secretary for International Finance at the U.S. Department of the Treasury, brought together key financial regulators from both nations. Representatives from China’s National Financial Regulatory Administration and China Securities Regulatory Commission, as well as the U.S. Federal Reserve and the U.S. Securities and Exchange Commission, were in attendance.
Over two days, participants engaged in professional, pragmatic, candid, and constructive discussions on a wide range of financial policy topics of mutual interest. According to a statement released by the PBOC, the talks covered subjects such as economic and financial conditions, monetary policies, financial stability and regulation, securities and capital markets, cross-border payments and data, international financial governance, financial technology, sustainable finance, and anti-money laundering and counter-terrorism financing.
A group of technical experts presented reports on critical issues including disposal mechanisms for global systemically important banks, operational resilience of financial institutions, climate risk stress testing, and supervision of cross-border financial services.
For the first time under this framework, financial institutions from both countries held a roundtable focusing on sustainable finance. Participants shared experiences, practices, and explored potential cooperation opportunities in this burgeoning field.
In a significant move to enhance cooperation on financial stability, the PBOC and the U.S. Department of the Treasury signed an exchange of letters. Both sides also exchanged lists of financial stability contacts to ensure timely and unobstructed communication during financial stress incidents and operational risks of financial institutions, aiming to reduce uncertainty in times of crisis.
The meetings concluded with both sides expressing a commitment to maintain open lines of communication, reflecting a mutual understanding of the importance of collaboration in promoting global financial stability.
Reference(s):
China, U.S. hold 5th meeting of economic and financial working groups
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