Global coordination is becoming more and more  important as the world's economy undergoes changes, especially with regard to the latest increase in US interest rates earlier this month, China's Vice Finance Minister Zhu Guangyao said ahead of the G20 summit.

As the global economy stabilizes, major countries need to normalize their interest rates, although, at present, this is happening at a very slow pace, Zhu told reporters in Beijing on Thursday.

"We need to closely monitor how the normalization of interest rates in major economies will impact global capital markets," said Zhu.

The US Federal Reserve has raised interest rates for the fourth time as part of a normalization of monetary policy that began in December 2015.

Zhu said the new global macroeconomic environment makes it even more important for global coordination through channels like the G20, which will convene in Hamburg in July.

Earlier this week, the Bank for International Settlements (BIS), an umbrella body for leading central banks, said in one of its most upbeat annual reports for years that major central banks should press ahead with interest rate increases.

Policymakers should take advantage of the improving economic outlook and its surprisingly negligible impact on inflation to accelerate the "great unwinding" of quantitative easing programs and record low interest rates, the BIS said.

With a growing capacity to better manage potential shocks to its economy, China remained calm in face of the Fed's latest interest rate hikes on June 14.

Fed rate hikes and paring bond holdings are expected to bring pressure on China's exchange rate, risks of currency devaluation and capital outflow, but the situation is under control, according to a Xinhua commentary published on June 15.