Chongqing- The economy of Chongqing is transforming and upgrading green finance, where it can learn from the experiences of Singapore and other Association of Southeast Asian Nations (ASEAN) countries in different areas, said He Haifeng, Chief Economist of Guotai Junan Securities and Director of Institute of Policy.

He Haifeng, Chief Economist of Guotai Junan Securities and Director of Institute of Policy. (iChongqing/ Wang Xiaoyan)

Green finance

Green finance refers to the financial services provided to support economic activities on environmental improvement, climate change response, resource conservation, and efficient utilization.

At the moment, developing green finance to promote green development has become a global topic that has drawn the attention of countries worldwide.

He thinks Chongqing has the critical task of leading sustainable development in the Western Region and along the Yangtze River Economic Belt. Green finance will be a powerful tool to help achieve this.

"Especially in digitalization and technology, Chongqing and Singapore can communicate and maximize respective strengths," said He. "While promoting green development, it also allows a stronger driving force in advancing the development of neighboring economies."

The Yangtze River. (Photo provided to iChongqing)

Inclusive finance

"Among the more than 10 ASEAN countries, their levels of economic and financial development are different," said He. "When it comes to building inclusive financial system in the context of cooperation between China and ASEAN, it aims to bring benefits to the lives of people broadly, and make a significant contribution to social and economic development."

He thinks that inclusive finance can enhance greater access to financial services for both individuals and micro, small, and medium-sized enterprises, which also serves as a key enabler for reducing poverty and boosting prosperity.

The World Bank Group also shows that when countries take a strategic approach and develop national financial inclusion strategies which bring together financial regulators, telecommunications, competition, and education ministries, they increase the pace and impact of reforms. This involves welcoming new business models, such as leveraging e-commerce data for financial inclusion.

Financial technology

He thinks unlike the Lujiazui Forum in Shanghai and Financial Street Forum in Beijing, the China-Singapore (Chongqing) Connectivity Initiative Financial Summit 2021 (CCI-FS) must not only have a global perspective but gain a foothold, especially in western China and Chongqing.

The China-Singapore (Chongqing) Connectivity Initiative Financial Summit 2021. (iChongqing/ Wang Xiaoyan)

"China has established a national fintech certification center in Chongqing," said He. "There are lots of cutting-edge financial technology (FinTech) projects to experiment and promote here."

He thinks that Chongqing is a city that involves rural and urban areas, reservoir areas, and ecological conservation, leading to a variety of scenarios for FinTech applications.

"If the center can be used to fully strengthen the extensive exploration of financial technology in Chongqing, in the west, and in China, as well as regional international exchanges," said He. "This can provide some good practice cases for China, ASEAN, and even the world."

Jiangbeizui CBD in Chongqing, located by the Yangtze River, aims to attract financial institutions, making it a financial center in the future. (iChongqing file photo)

China and ASEAN countries agreed to promote the upgrading of bilateral ties, build an even closer community with a shared future and open up greater cooperation, according to a special ASEAN-China foreign ministers' meeting in celebration of the 30th anniversary of dialogue relations held this June.

The two-day CCI-FS focuses on opportunities to deepen financial collaboration between Singapore and Chongqing and between ASEAN and western China.

Attendees of the summit include representatives from central banks, financial institutions, and corporations from across ASEAN and Chinese policymakers and financial institutions.

(Zhang Yue, as an intern, also contributed to this report.)