Contact: Laena Fallon, 202-457-8783, laena.fallon@financialservicesforum.org

WASHINGTON, DC – Engage China, a coalition of twelve financial services trade associations united in support of high-level engagement between the United States and China with an emphasis on continued financial sector reform in China, released the following statement in advance of the fifth round of the U.S.-China Strategic and Economic Dialogue (S&ED) that will be held in Washington, DC July 10th-12th:

“The Engage China Coalition believes the Strategic and Economic Dialogue is a vital forum for U.S. and Chinese leaders to examine and discuss their important bilateral economic relationship, including continued work toward market-opening reforms of China’s financial markets.  During the S&ED talks we respectfully urge U.S. and Chinese leaders to keep Chinese financial reform a top priority item as access to China’s economy presents a great opportunity for businesses and workers, as well as increased prospects for job creation and economic growth.

“Greater participation by international financial institutions, banking, insurance, futures, and securities firms in China’s financial service marketplace will help China achieve its economic goal of building a more services-based, consumer-driven economy as well as bring world-class expertise and best practices with regard to products and services, credit analysis, risk management, internal controls and corporate governance.  Enhanced capital markets will provide healthy competition to facilitate the development and growth of alternative retail savings products such as mutual funds, pensions, and life insurance products.  By broadening the range of funding alternatives for emerging companies, more developed capital markets would greatly enhance the flexibility and strength of the Chinese economy.

“Engage China believes that continued engagement and a coordinated strategy between China and the U.S. are critical to achieve a level playing field and to increase economic opportunities for both countries.  We commend the leadership of Treasury Secretary Jack Lew and Chinese Vice Premier Wang Yang and urge them to discuss these important opportunities during the S&ED.  We wish both parties successful talks during the S&ED and look forward to hearing of the outcomes.

“The rational for the creation of the Strategic Economic Dialogue (SED) and the expansion into S&ED was that coordination between the world’s two largest economies demanded a regular high-level dialogue to discuss common problems and find win-win solutions.  Key to this was and remains rebalancing the bilateral trade relationship by increasing Chinese consumption and increasing American exports in sectors where we are clear global leaders, such as financial services.  This agenda must remain a central focus of both markets if we are to work together to not only make our economic relationship fair, but sustainable.”

The Engage China Coalition includes the American Bankers Association, the American Council of Life Insurers, American Insurance Association, BAFT-IFSA, The Council of Insurance Agents & Brokers, The Financial Services Forum, The Financial Services Roundtable, The Futures Industry Association, The Investment Company Institute, Insured Retirement Institute, Property Casualty Insurers Association of America, and Securities Industry and Financial Markets Association.

Find out more at www.EngageChina.com

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