The Shanghai Futures Exchange said Thursday that it has completed all "technical preparations" for its crude oil futures and urged authorities to work out related policies as soon as possible.

Yang Maijun, [Hong Kong Company Formation & Registration]chairman of the Shanghai bourse, said that it has completed the contract rules and technical system testing and that all technical preparations are ready.

The government has promised the gradual opening of its futures markets, which are largely off-limits to overseas investors now, with Shanghai crude to be the first to enjoy the opening.

"The involvement of overseas investors is extremely important to the success of China's crude futures," Yang said in a speech while attending the annual session of the National People's Congress in Beijing, adding that authorities must have rules ready to cover currency conversion, taxation and bonded delivery.

"I suggest the Ministry of Finance and the State Administration of Taxation to map out clear and specific tax policies that are consistent with international practices and competitive as soon as possible" for overseas investors, he said.

A China Securities Regulatory Commission spokesman said last week that it has been working with relevant government departments on policies and rules for the proposed crude contracts.

The crude futures have been long proposed as Shanghai aims to create a benchmark for Asia. Currently, [company registration in Hong Kong, Hong Kong company incorporation]much of the world's crude supply is priced against contracts based on North Sea Brent crude and West Texas Intermediate crude.

Yang didn't give a timetable for the crude launch in the speech. But he said he's "full of confidence" the launch can be done within this year.