At the opening of the Lujiazui Forum, PBOC vice governor and State Administration of
Foreign Exchange director Zhu Hexin said since 2020 global instability and
uncertainty have risen, and capital flows now exhibit 'volatility, divergence
and resilience.' He flagged three market features: first, global financial
conditions have shifted rapidly, with higher international market volatility and
increased capital‑flow volatility amid changes in financial structure; second,
global capital is reallocating toward future industries — notably artificial
intelligence, semiconductors, biomanufacturing and the energy transition —
widening dispersion across countries, sectors and assets; third, the foundation
for global openness and cooperation remains solid and cross‑border private
allocation momentum is strong. Zhu said global financial system resilience has
continued to improve and many emerging economies, including China, have become richer
macro policy and macro prudential experience, enhancing their capacity to
withstand external shocks.
