China, Switzerland to enhance financial cooperation

Premier Li Keqiang (Left) meets with Simonetta Sommaruga, president of the Swiss Confederation, in Davos, Switzerland, Jan 21, 2015.[Photo/english.gov.cn]

China will give Switzerland an investment quota of 50 billion yuan ($8.05 billion) under its Qualified Foreign Institutional Investors (QFII) scheme to support the establishment of the Zurich offshore renminbi market, said Premier Li Keqiang during a meeting with Simonetta Sommaruga, president of the Swiss Confederation Wednesday.

In an effort to get Switzerland involved in the process of the internationalization of yuan, Li hopes that the Swiss can offer help to facilitate Chinese banks opening branches in Switzerland.

The two leaders pledged closer bilateral financial cooperation and agreed to support the establishment of the offshore RMB market in Switzerland, which analysts say marks a crucial step in the internationalization of the Chinese currency, especially in Europe.

Li attributed the new achievements of China-Switzerland relations to their mutual respect, frank treatment of each other, cooperation on an equal footing as well as mutually beneficial and win-win cooperation.

He said China stands ready to further consolidate political mutual trust and deepen practical cooperation with Switzerland so as to elevate the bilateral ties to a higher level and better benefit the two peoples.

Li urged the two countries to well implement their free trade agreement after the document took effect in July 2014, further optimize their trade structure, encourage and expand the two-way investment and deepen their cooperation in areas including high-end manufacture, energy conservation and environment protection, as well as modern agriculture.

The premier also called on the two sides to expand people-to-people exchanges and strengthen their communication and cooperation in such areas as culture, science and technology, education, tourism and personnel training.

He also said the two countries should conduct more law-enforcement cooperation in areas of criminal chasing, recovery of embezzled money and combating transnational crimes.