Protectionism would compromise China’s financial sector, says PBOC governor

Lintao Zhang | Getty Images

Zhou Xiaochuan, governor of the People’s Bank of China, speaks during a press conference at the media center on March 10, 2017 in Beijing, China.

Healthy financial institutions are a prerequisite for preventing a financial crisis and further opening will strengthen the sector, China’s central bank governor Zhou Xiaochuan said on Tuesday at a forum in Shanghai.

Some vested interests have argued in favor of protecting the financial sector until domestic players were strong, but protectionism would only compromise the competitiveness of the sector, Zhou said.

The financial services industry had benefited from opening up, and must continue to do so, he said.