Financial regulators vow innovation, coordination to prevent systemic risks

China's top financial regulators vowed on Friday to continue pushing reform and innovation and preventing financial risks amid concerns that rising asset prices and high debt levels could cause troubles.

Top officials from the People's Bank of China, the central bank, and from the banking, securities and insurance regulatory bodies said at a financial forum, organized by the China Society for Finance and Banking in Beijing, that they will improve policy coordination and adopt prudent regulatory methods to ward off systemic risks.

Central banks around the world have realized that stability of individual financial institutions cannot guarantee overall stability of the financial system and that prudent policy tools should be used to prevent systemic financial risks, said Chen Yulu, vice-governor of the central bank.