China will improve the regulatory framework for the banking sector in an effort to ensure the stability of the country's financial system and better safeguard people's assets, the State Council, China's Cabinet, said on Friday.

The draft revision of the bank supervision and management law was discussed and approved in principle during a State Council executive meeting chaired by Premier Li Qiang. It was decided at the meeting to submit the draft to the Standing Committee of the National People's Congress, the country's top legislature, for deliberation.

The law was adopted by the NPC Standing Committee in December 2003 and took effect in February 2004. It aimed to establish a unified legal basis for bank regulation, to prevent risks and to protect depositors.

The law was amended in 2006 by a decision of the Standing Committee of the NPC, with the amendment coming into effect in 2007, to strengthen supervisory powers such as on-site inspections and evidence preservation.

Friday's meeting noted that it is important to further improve management systems and to severely crack down on irregularities in the financial sector to protect consumers' legitimate rights and interests, effectively prevent and defuse financial risks, and promote the sound development of the banking sector.

It pointed out that formulating and introducing standards and related policies for government procurement of domestic products is an important measure to improve the government procurement system and a pragmatic action to implement national treatment for foreign-funded enterprises in the field of government procurement.

The meeting said that a realistic approach needs to be taken to specify the specific requirements for key components and critical processes of certain products.

China will steadily promote the implementation of relevant standards, set reasonable transition periods and support enterprises in making timely adjustments to their industrial layouts and investment plans, according to the meeting.

Attendees at the Friday meeting also agreed to prioritize ecological conservation and pursue resource-saving and environmentally friendly development to advance the Beautiful China Initiative — a national development blueprint that has laid out specific targets for China's green and high-quality growth.

It is essential to balance efforts to promote high-quality development and high-level protection, the meeting said, adding that it is also imperative to intensify efforts to consolidate and expand achievements in ecological conservation.