Speaking on the sidelines of the China Development Forum, Zheng Yongnian, dean of the school of public policy at the Chinese University of Hong Kong, Shenzhen, noted that capital had been flowing to Hong Kong, China’s special administrative region, since the US-Israeli strikes against Iran.

“Capital needs expectations,” he said. “If people don’t know when the [Iran] war will end and uncertainty continues to mount, while China becomes increasingly certain, capital will naturally flow in.”

Pointing to the recent visits to China of European leaders, Zheng described them as significantly symbolic, adding that China must “maintain strategic composure in the face of profound changes”.

He also called on China and the United States – which he called “de facto G2” – to deepen dialogue, not only regarding bilateral relations but also on broader global affairs.

Pan Gongsheng, governor of the People’s Bank of China, told the forum that the country will steadily promote the “high-level opening up” of its financial sector, deepening the interconnectivity of financial markets and cross-border payment systems to smooth the path for global capital.