Yuriko Backes, Minister of Finance, concluded her visit to China from May 21 to 25, 2023. This marked the first visit by a European Finance Minister to the country since the end of the pandemic.
In Beijing, the Minister met with her Chinese counterpart, Minister Liu Kun. Their discussions focused on current macroeconomic trends and geopolitical tensions. The Minister mentioned the Russian war in Ukraine and the economic impact of the energy price surge and inflation on the European and Luxembourgish economies. The ministers exchanged views on the development of financial services relations between the two countries, as well as the role of green finance in combating climate change.
The Minister also met with Yi Huiman, President of the China Securities Regulatory Commission (CSRC), where they engaged with each other on the opening and internationalisation of the Chinese capital markets, particularly in the area of asset management. Additionally, Minister Backes held bilateral talks with Yi Gang, Governor of the People's Bank of China (PBoC), on the economic situation and outlook in Europe and China. They also discussed advances in sustainable finance regulation and welcomed the common ground taxonomy between China and the European Union, while emphasising that efforts to converge standards at an international level should continue.
During her visit to Shanghai, the Minister was welcomed by the city's Mayor, Gong Zheng. They expressed their willingness to further strengthen cooperation between Luxembourg and Shanghai, two leading international financial centers. In this context, they highlighted the importance of enhancing joint initiatives in the areas of training and sustainable finance.
The Minister also took the opportunity to visit the Shanghai Stock Exchange, where she discussed cooperation prospects and the importance of further strengthening exchanges and links between Luxembourg and China, particularly with the aim of facilitating international and Chinese investors' access to securities listed in both Chinese and European markets.
In both Beijing and Shanghai, the Minister held meetings with the leaders of major Chinese financial institutions present in Luxembourg. These exchanges provided an opportunity to take stock of the development of their activities in Europe and the Grand Duchy. The meetings also presented an opportunity to discuss the evolving macroeconomic situation in Europe and China, as well as key geopolitical issues. Overall, the parties involved reaffirmed their commitment to Luxembourg and Luxembourg's financial center.
The Minister attended a signing ceremony for a Memorandum of Understanding between the Luxembourg Stock Exchange and China Everbright Bank, aimed at promoting the integration of financial markets between Europe and China.
Yuriko Backes stated, "These fruitful dialogues with our Chinese partners not only underscore the strength of our bilateral relations, but also our mutual commitment to further embedding sustainable finance and creating a more resilient global economy."
Luxembourg for Finance organised two events for finance professionals in Beijing and Shanghai, where the Minister highlighted the excellent relations that have developed between China and Luxembourg in the field of finance over the past four decades. She also emphasised the importance of multilateral collaboration and the crucial role of sustainable finance plays in both economies in the face of climate change.
The Minister concluded, "In a globalised and interconnected world, major economic blocs have an important responsibility. The major challenges of our time, such as climate change or the war in Ukraine, require common solutions. Dialogue with China remains essential in this context."
Press release by the Ministry of Finance