In his written address to the Annual Conference of Finance, Chen Yuan, President of China Development Bank ("CDB"), pointed out that CDB would play a further role in the medium and long-term financing field and become the constructor and pioneer in the medium and long-term investment and financing market.

Large-scale medium and long-term business, he pointed out, served as the cornerstone and impetus for the economic and social development in underdeveloped and developing countries. Three were many bottleneck fields and weak links in China with its developing economy, developing system and developing market, leading to an increased demand for medium and long-term financing on an annual basis. By the end of this October, the balance of medium and long-term loans had constituted 49.5% of that of various loans in financial institutions. Promotion of medium and long-term financing market construction thus became an urgent task, which on one hand should comply with international practice, attach importance to capital market development and governmental credit support and refer to internationally prevailing regulatory standards and experience of financial institutions at home and abroad and on the other hand should study and explore risk management framework and rules in line with Chinese characteristics to promote development of the medium and long-term investment and financing market.

Chen Yuan emphasized that the financing proportions of finance, credit and security should be adjusted to enlarge the share of capital market and the management of credit market be reinforced to promote commercial operations and sustainable development of many immature fields with the marketized inner vitality through fostering and improving main players in the market. Meanwhile, cooperation with various social parties should be intensified and social supervision and evaluation be introduced to foster risk-prevention consensus and systematic cohesion.

He argued that under the trend of economic and financial globalization, domestic banks should actively conduct international business and participate into investment in international capital market to enhance China's influence on the world economy and maintain the safety of national strategic resources and finance. (Reporters Zhao Tonggang, Wang Guangping and Xie Wenqi Report)