Fang Xinghai, vice-chairman of China Securities Regulatory Commission, looks on during a panel session at the World Economic Forum (WEF) in Davos, Switzerland, on Wednesday, Jan. 18, 2017. [Photo/VCG]

China plans to actively encourage commercial banks and overseas institutional investors to participate in the domestic futures market, an official with the country's securities regulator said.

In an article published in People's Daily newspaper on Thursday, Fang Xinghai, vice-chairman of the China Securities Regulatory Commission, writes China should speed up reform and innovation in the country's futures market.

Fang said the market participant structure should be further optimized, revealing that the CSRC is considering letting commercial banks participate in the treasury futures market in a bid to strengthen risk management and ensure the stable development of the domestic financial market.

China will actively introduce more futures products and trading modes, improving the risk management function of the derivatives market, Fang said.

The CSRC is also speeding up preparations to launch crude oil futures, as well as possible futures markets for cotton yarn, pulp, hogs, red dates and apples, Fang said. Furthermore, the plan to introduce foreign investors to financial futures is underway, Fang added.