Steps to boost economy

China will improve the management of State-owned financial capital to better serve the real economy, guard against financial risks and deepen financial reform, according to a guideline released on July 8.

The goal is to optimize the strategic layout of State-owned financial capital, enhance the vitality and control of State-owned financial institutions, and preserve or increase the value of State-owned financial capital, said the guideline, issued jointly by the Communist Party of China Central Committee and the State Council.

The guideline provides specific requirements on improving the management of Stateowned financial capital, including improving the administrative system, laws and regulations of State-owned financial capital, strengthening the CPC leadership over Stateowned financial institutions and enhancing supervision of State-owned financial capital. The proportion of State-owned financial capital in banks, insurance and the securities sectors will be properly adjusted to increase the efficiency of capital allocation, the guideline said.

The Ministry of Finance will be in charge of making of regulations regarding Stateowned financial capital, and financial departments at various levels will assume the responsibility to manage State-owned financial capital.

The prevention of losses involving State-own financial capital is also prioritized as the guideline called for strengthening of oversight, real-time monitoring of operations as well as audits and evaluations.