May 15 & 16, 2009. Lujiazui Forum 2009, which brought together nearly 100 world financial leaders, outstanding scholars and influential government officials from various countries, was successfully held on May 15-16, by the beautiful Huangpu River in Shanghai.

This is the second Lujiazui Forum, co-hosted by Shanghai Municipal Government, People's Bank of China (PBC), China Banking Regulatory Commission (CBRC), China Securities Regulatory Commission (CSRC), and China Insurance Regulatory Commission (CIRC). Co-organizers were Shanghai Financial Services Office, China Europe International Business School (CEIBS), Pudong New Area People's Government, PBC Shanghai Headquarters, and CBRC Shanghai Office.

As the only academic institution among the five organizers, CEIBS provided intellectual support for the entire process of schedule planning as well as pre-event and post-event publications. During the forum, the following CEIBS team members were invited to participate as speakers or moderators:
- CEIBS President Zhu Xiaoming as the Vice President of the Organizing Committee for Lujiazui Forum 2009;
- CEIBS Associate Dean Chang Chun;
- Professor of Economics and Finance Xu Xiaonian;
- Department Chair (Economics and Decision Sciences) Prof. Xu Bin;
- Director of CEIBS Lujiazui International Finance Research Centre (CLFC) Wu Xiaoling;
- and CLFC Executive Deputy Director Yin Jianfeng.

In addition, some adjunct professors of CEIBS also attended the forum as invited speakers or moderators, including:
- Vice Mayor of Shanghai Tu Guangshao;
- Chairman of China International Capital Corporation Limited (CICC) Li Jiange;
- Director of Shanghai Financial Services Office Fang Xinghai;
- and Director of Brookings-Tsinghua Centre for Public Policy Xiao Geng.

During the forum, CEIBS professors and scholars attracted wide media attention and participated in special interviews with China Busines News, Hong Kong Wen Wei Po, Shanghai Securities News, Xinhua News Agency, SINA.com, SOHU.com, Eastday.com, and Xinmin.cn.

Ahead of the forum, the State Council had recently approved the "Opinions on Accelerating the Development of Modern Service Industry and Advanced Manufacturing Industry and the Establishment of International Financial Centre and Shipping Centre in Shanghai", offering a historic moment for Shanghai to greet new opportunities. Under the theme of "Finance and Economic Growth in the Globalized Era", the forum attracted wide attention from both home and abroad.  Yu Zhengsheng, member of the Political Bureau of the CPC Central Committee and Shanghai's Party Secretary, noted in his speech that "the deepening globalization of the world economy has not only offered a rare opportunity for countries to develop, but also posed serious challenges. The outbreak of the international financial crisis has landed the world economy in the most difficult situation since last century's Great Depression. Now the crisis is still spreading and deepening and has increasing impact on global economy entities. At such a crucial moment, it is of great practical significance for Lujiazui Forum 2009 to discuss how to draw the right lessons from the financial crisis, strengthen the foundation for financial development, and offer consistent financial support to global economic growth."

Shanghai's Party Secretary Yu Zhengsheng delivering his speech.

As a high-level global platform, the Lujiazui Forum attracted many influential figures from the political, financial, academic, and corporate spheres. Among the attendees were:
- Governor of PBC Zhou Xiaochuan,
- CBRC Chairman Liu Mingkang,
- CSRC Chairman Shang Fulin,
- CIRC Chairman Wu Dingfu,
- Board Chairman of BOC Xiao Gang,
- Board Chairman of China Everbright Group Tang Shuangning,
- Board Chairman of Agricultural Bank of China Xiang Junbo,
- Board Chairman of Bank of Communications Hu Huaibang,
- President of China Merchants Bank Ma Weihua,
- Board Chairman of Baosteel Group Corp. Xu Lejiang,
- Board Chairman of CDH Investments Wu Shangzhi,
- General Manager of Shanghai Stock Exchange Zhang Yujun,
- Board Chairman of Taiwan Stock Exchange Corporation Schive Chi,
- CEO of London Stock Exchange Clara Furse,
- Prof. Joseph Stiglitz (Nobel Prize Winner in Economics), Columbia University,
- CEO of  NYSE Euronext Duncan Niederauer,
- Director of Bank of East Asia David Li,
- Prof. Ronald I. Mckinnon, Stanford University,
- Chairman of McKinsey & Company Asia-Pacific Region Dominic Barton, 
- President of Tokyo Stock Exchange Atsushi Saito, and others.

During a panel discussion on "Finance Promotes Growth: Technological Innovation and Development of Small and Medium-sized Enterprises (SMEs)" moderated by CEIBS President Zhu Xiaoming, the invited speakers were Vice Chairman of CBRC Jiang Dingzhi, SMEs Secretary of the Ministry of Industry and Information Technology of the PRC Wang Liming, President of China Merchants Bank Ma Weihua, Board Chairman of Shanghai Rural Commercial Bank Hu Pingxi, and President of Silicon Valley Bank Gregory W. Becker. CEIBS President Zhu Xiaoming said, "In the 21st Century, technological Innovation is not only a key element of national competitiveness, but also the only way to achieve sustainable development and notably an important method to implement scientific development. It's very likely that today's small firms will develop into global giants in the future. One of the most impressive examples is GOOGLE, which started with only $100,000 in seed funding but ranked No.1 among Top 100 Brands worldwide for 2008 with a brand value of $86.1 billion." He also emphasized, "In China, SMEs make up over 98% of all enterprises and their employees account for 80% -- 90% of total employment. Facing severe challenges imposed by the global financial crisis, it's of major practical significance to greatly support the development of SMEs and innovative high-tech companies."

President Zhu Xiaoming speaking at the forum

Panel discussion moderated by President Zhu Xiaoming

Wu Xiaoling, Standing Committee Member of the National People's Congress, Vice Chairman of Financial and Economic Committee and Director of CLFC, said in her speech, "Credit rating is important to ensure sound operation of the capital market, and it has become an urgent task for  China to build its own credit rating system." She came up with four lessons drawn from international experience: to strengthen the transparency of information disclosure and rating system; to improve the payment model and fairness of credit rating; to implement moderate and progressive open-up strategies; and to refine and strengthen the regulation on credit rating.

Director of CLFC Wu Xiaoling delivering her speech

During the panel discussion on "Sino-US Economies and Global Economic Recovery", audience members eagerly raised questions. Moderator Prof. Xu Xiaonian said, "Since China is now adopting a 'very loose' monetary policy instead of a 'moderately easy' one, we should be wary of the potential risks. Moreover, we see a financial crisis in the U.S., but not in China, so we shouldn't compare the financial and economic conditions in the U.S. with those in China."

Prof. Xu Xiaonian moderating a panel discussion

Prof. Chang Chun was the moderator of the panel discussion on "Financial Regulation: a New Thinking after the Crisis". He said, "China must strike a balance between regulation and financial innovation which is still underdeveloped in China." CLFC Executive Deputy Director Yin Jianfeng said, "The outbreak of the sub-prime crisis indicates that the U.S. hasn't done a good job handling the relationship between financial regulation and financial innovation. Looking ahead, the U.S. needs to strengthen regulation and maintain stability, while China needs to promote reform and speed up development."

While the export sector is severely undermined by the crisis, how should China stimulate domestic demand through financial innovation? During the panel discussion on "Financial Services and the Development of China's Consumer Market", moderator Prof. Xu Bin said that "35% of China's GNP is contributed by consumption, so [the question of] how to drive economic growth through consumption has become an issue of great importance." 

Xu Lin, a CEIBS EMBA alumnus and Secretary of Shanghai Pudong New Area, delivered a speech at the forum on "Building Shanghai as an International Financial Centre: Opportunities and Challenges in a New Global Financial Order."

CEIBS alumnus Xu Lin delivering his speech.

CEIBS Vice President and Co-Dean Zhang Weijiong, Assistant Presidents Ge Jun and Liu Yongjie, Director of MC Office Dai Xin, Deputy Director of MC Office Du Qian, and other alumni fully participated in the two-day Lujiazui Forum.

Deputy Director of CLFC Liu Shengjun said, "Shanghai needs to increase its voice and influence to build into an international financial centre. Lujiazui Forum, which aims to become the 'Financial Davos', serves as an important platform to enhance Shanghai's soft power. China's enhanced position in the global economy and its strategy to build Shanghai into an international financial centre has made this forum more appealing than ever.

For more details about the Lujiazui Forum, please visit: //www.lujiazuiforum.org