China's forex regulator pledges a healthy business environment

The head of China's foreign exchange regulator pledged to build a healthy and sound business environment during a conference with multinationals on Friday.

"The forex administration will stick to reform and opening up, and work for the facilitation of cross-border trade and investment," Pan Gongsheng, head of the State Administration of Foreign Exchange and also deputy governor of China's central bank, said when addressing executives of foreign-funded firms including Ericsson, Caterpillar and Thyssenkrupp.

Pan listened to opinions from the businessmen and called for concerted efforts from both the regulator and companies to maintain stability in the market.

"A stable, sound forex market is beneficial to foreign companies operating in China."

The current cross-border capital flows have stabilized and become more balanced, Pan said, vowing continued emphasis on risk prevention.

Net forex sales by Chinese banks rose slightly in April to 15 billion US dollars month on month but were still markedly lower than the deficit a year ago.