Policymakers won't hesitate to take resolute measures to correct market failures and forestall systemic risks if the capital market experiences extreme volatility, said Wu Qing, chairman of the China Securities Regulatory Commission.

Addressing at the press conference of the ongoing second session of the 14th National People's Congress on Wednesday, Wu said that resolute actions must be taken to correct market failures in extreme situations like irrational volatility, liquidity drain, market panic and serious loss of confidence.

"We already have some effective practices in this regard and we will continue to strengthen the relevant mechanisms and resolutely forestall systemic risks," Wu said.