Chinese banking sector will not have a crisis because the source of funding in the system is secure and the healthy balance sheet of the central government can shoulder any shock to the system, experts at the Summer Davos said on Tuesday.

"We don't expect a crisis because the source of funding in the system, which is mainly deposits, is secure," said Jing Ulrich, managing director and vice-chairman of JPMorgan Asia-Pacific.

"You have $23 trillion equivalent of RMB savings in the banking system, the biggest in the world, and these are secure and will not leave the system because of China's capital account control," said Li.

Li added that the capital adequacy ratio in Chinese financial institutions remains high by international standards.