Ｖｉｃｅ Ｐｒｅｍｉｅｒ Ｚｅｎｇ Ｐｅｉｙａｎ Ｍｅｅｔｓ ｗｉｔｈ Ｍｉｃｈａｅｌ Ｃｏｈｒｓ，ＣＥＯ ｏｆ Ｃｏｒｐｏｒａｔｅ ＆ Ｉｎｖｅｓｔｍｅｎｔ Ｂａｎｋｉｎｇ ｏｆ Ｄｅｕｔｓｃｈｅ

Invited by the CPAFFC， Michael Cohrs， Chief Executive Officer of the Corporate and Investment Banking of Deutsche Bank， visited Beijing from February 26 to 28， 2004. Vice Premier Zeng Peiyan of the State Council met with Cohrs and his party.

Deutsche Bank AG， a global multipurpose bank founded in 1870， has business operations in more than 70 countries. Its business is divided into two parts---corporate and investment banking， and private client and asset management， of which the corporate and investment banking has been rated number 1 in overall performances among the world’s investment banks by Euro Money for three consecutive years. Its total assets reached 806.3 billion euro by the end of 2003. Deutsche Bank has several times helped Chinese enterprises be listed in overseas stock market， introduced strategic investors to China and successfully assisted the Chinese Ministry of Finance to issue bonds overseas.

Vice Premier Zeng Peiyan said during his meeting with Mr. Cohrs and his party， at present the Chinese economy maintains a good momentum of development， and the per capita national income has exceeded 1，000 US dollars. Since the latter half of 2002， the economy has registered relatively quick growth. The new demands of the consumers have brought in a lot of investments including private capital. But in some regions and in some specific industries there is the phenomenon of economic overheating， for which the Chinese Government is taking measures to put it under control. Overseas investors， including big enterprises in the capital market， should realize that the Chinese economy will continue to grow inside China for a long period of time.

On the reform of the financial system， the Vice Premier said， an overall arrangement for the reform of the financial system was made at the Third Plenary Session of the 16th National Congress of the Communist Party of China convened last year. The Government has set up the China Banking Regulatory Commission for the banking industry to strengthen supervision over financial enterprises. The commercial banks should further lower the rate of bad loans and replenish their capital funds. Eventually RMB will become convertible. At present， China practises regulated floating exchange rate system in accordance with the market supply and demand.

Mr. Cohrs thanked Vice Premier Zeng Peiyan for meeting with them. He said， Deutsche Bank is very confident in the sustainable and stable development of the Chinese economy and publicizes this judgment among its clients. China has never had such a good external environment. From a global economic perspective， the real hot spot is in China. Deutsche Bank will， as always， take an active part in China’s economic construction and the reform of its state-owned enterprises and make contributions to Chinese enterprises’ entry into the international market.