"By the end of the year, we will complete the development of China's International Payment System, CIPS", Premier Li Keqiang said at the annual plenary session of the State Council, China's cabinet.
The prime minister described steps the Chinese government is taking to become more open to the world community.
"We have a high savings rate and large foreign exchange reserves. It is necessary to use these resources effectively, and to improve the efficiency of the financial sector, by reducing the key rate," he said.
"We will help develop private banks, and open the financial sector wider for the rest of the world. It is our goal," he added.
Li Keqiang noted that China plans to assist in facilitating foreign central banks in the inter-bank foreign exchange market.
CIPS is expected to replace the use of the SWIFT (Society for Worldwide Interbank Financial Telecommunication) payment system in China, and will provide a network enabling financial institutions across the world to send and receive information about financial transactions to Chinese financial institutions.
