China will strengthen efforts to prevent and defuse financial risks to stabilize the financial market in 2022, according to the central bank.

The People's Bank of China will enact concrete measures to guard against and address financial risks in accordance with the fundamental principles of maintaining overall stability, the bank said during a recent video conference on stabilizing the financial market in 2022.

The bank pledged more efforts to establish a market-oriented, law-based and normal risk-disposal mechanism in a bid to buttress the financial safety net and forestall systemic financial risks.

China will make stronger efforts to give early warning of risks, enhance risk prevention and control mechanisms, and build capacities for responding to risks, according to this year's government report.

A fund for ensuring financial stability will be established, and the deposit insurance system and industry guarantee funds will be brought fully into play, said the report.