CHINA’S banking and insurance regulator Friday said that it will vigorously push for the establishment of a fund to ensure financial stability in an effort to weave a complete security net for financial markets.

The spokesperson of the China Banking and Insurance Regulatory Commission (CBIRC) made the remarks when answering media questions, according to a CBIRC statement.

This year’s government work report, published earlier this month, for the first time proposed the establishment of a fund to defuse financial risks and potential dangers.

Stressing the necessity of the fund, the spokesperson said that despite an overall stable performance, China’s financial sector is seeing increasingly unstable and uncertain factors from home and abroad, and still faces relatively significant challenges.

The fund will be used to deal with “major risks with systemic hidden dangers,” the spokesperson said.

The spokesperson described it as an indispensable part of China’s financial security net, similar to deposit insurance and industry guarantee funds.

The CBIRC will work to improve relevant laws and regulations as well as institutional arrangements for the establishment of the fund, the spokesperson said.

A document published by State Council showed Friday that China will complete its preparation for establishing the financial stability fund by the end of September with the central bank leading the work.

Also in the CBIRC statement, the CBIRC spokesperson vowed to step up financial support for pandemic-hit industries.

Efforts will be made to prevent industry-wide lending restrictions, the forced early repayment of loans and the arbitrary termination of loan agreements for micro, small and medium-sized enterprises that are willing to repay their loans and are significant to the creation of jobs, the spokesperson said. (SD-Xinhua)