BEIJING -- Wenzhou, a manufacturing hub in East China's Zhejiang province, has applied to the State Council to begin piloting private banks, the China Securities Journal reported on Thursday.

Zhu Congjiu, vice-governor of Zhejiang, told the newspaper that the city has been striving to restructure financial institutions with more private capital.

He said that the trials need more policy support in establishing local privately owned banks, security dealers and insurance companies.

The city encourages state-owned bank branches to pursue more innovation in financing products and investment businesses, and to build new credit investigation mechanisms that serve small and micro enterprises.

Zhu added that private financial institutions in Wenzhou also wish for supervision, pilots of personal overseas direct investment and faster financial reform.