Home> Business

Local model offers possible solutions to global problems

By Xie Chuanjiao ( China Daily )

Updated: 2016-09-05

  Print Mail Large Medium  Small 0

Innovation and imagination pay dividends as they show how economy can be boosted

As G20 leaders meet in Hangzhou to discuss potential reforms to the global financial system amid the current economic slowdown, a coastal city in East China's Shandong province could provide them with plenty of material for discussion.

The city already has a foreign advocate in the shape of former French prime minister Dominique de Villepin, who attended the China Wealth Forum held in Qingdao in early June.

After touring the city, he noted: "Qingdao's financial reform will stimulate financial innovation and reform in Shandong - and even across China. Qingdao's geographical closeness to Japan and the Republic of Korea, its historical connection with Germany and its great potential in many economic sectors expand the space for investment.

"The financial service that stresses sharing is a key factor. I believe in the importance of innovation and cooperation."

The development of the financial sector in Qingdao is giving a major boost to its real economy.

By the end of the second quarter, the total amount of direct financing, including initial public offerings and bonds, reached 71.9 billion yuan ($10.7 billion), increasing by 50 billion yuan year-on-year, according to sources at the Qingdao Financial Affairs Office.

A total of 353 companies have been listed on the Qingdao Blue Ocean Equity Exchange, a regional equity trading market.

There are also many other overseas projects receiving financial support from the city.

The Bank of Communications Qingdao Branch joins the Banco BBM Bank in Brazil in offering financial services totaling $90 million to support CRRC Qingdao Sifang's railway project in Sao Paulo, Brazil.

The Bank of China Qingdao Branch has granted non-financing letters of guarantee with a total value of 24 million yuan to Qingdao Huijintong Power Equipment, beefing up its market growth in Pakistan, Myanmar and Canada.

Qingdao has long prioritized inclusive financing to ensure the sector benefits the majority of its increasingly well-off residents.

xiechuanjiao@chinadaily.com.cn

 Local model offers possible solutions to global problems

Former French prime minister Dominique de Villepin (right) talks with Qingdao Party chief Li Qun during the 2016 China Wealth Forum, which was held in Qingdao from June 4 to 5. Provided to China Daily

(China Daily 09/05/2016 page36)