The 15th Annual Meeting (F20 Summit) of the International Finance Forum (IFF) was held at Shangri-La Hotel, Guangzhou from November 24-25, 2018, with the theme "New Globalization: A Path to the Future - Moving Towards Common Development Through New Economic Globalization".

At the IFF Summit for 40th Anniversary of China's Reform and Opening-up, Chen Wenhui, deputy secretary-general of National Council for Social Security Fund, said that the essence of the market economy is competition. In fact, the history of China's financial development in the past 40 years is a history of competition.

The following is the speech record:

Now everyone knows that the core and essence of a market economy is market competition. In fact, the history of China's financial development in the past 40 years is a history of competition.

In the past monopoly market situation, there may be some things that are unthinkable now, for example, the profit of financial institutions in a monopoly position is very high. Now, in a more competitive market environment, due to the degree of homogeneity and fungibility of financial products and services provided by many financial institutions, it is no longer possible for financial institutions to obtain the same monopoly profits as in the past.

For example, in the insurance market, each time a regulatory agency approves a new insurance company, the original insurance company in the market claims that it will be subject to more competitive pressures, weakening their existing market share and operating profit.

However, from another perspective, the increasing number of participants in the financial market will increase the supply of financial products and services, to meet the increasing demand for financial services. Therefore, the financial market will be more prosperous, and the market will be more dynamic, thereby driving economic growth and social development.

In the new stage of reform and opening up, how to further promote fair competition is a very important task we face. It is important for the financial supervision department to improve the supervision system, maintain fairness in the market, and ensure a good market competition order.