BEIJING - China's State Council on Wednesday specified a string of measures aimed at better regulating regional equity markets to aid financing for small- and medium-sized enterprises (SMEs).
China will promote the healthy development of regional equity markets to allow them play "positive roles" in serving SMEs in the areas, said a statement released after a State Council executive meeting presided over by Premier Li Keqiang.
China will promote the healthy development of regional equity markets to allow them play "positive roles" in serving SMEs in the areas
Cross-regional operations of the equity markets will be adjusted and regulated, the statement said, stating such financing platforms in one region should be managed by one single institution.
A qualified investors mechanism will be put in place to stipulate requirements for trading in the equity market exchange, such as demanding participants to have relatively strong risk tolerance and certain scale of financial assets.
The meeting also clarified regulation responsibilities between provincial governments and securities regulator to jointly protect the interests of investors.
Regional equity platforms are an important part of China's capital market that mainly provides financing services for non-public stock companies in equity cirlation in the areas.
So far, China has more than 30 regional equity markets scattered across the country.
The State Council said growth of the financing platforms is of great significance in fostering a multi-level capital market and serving the real economy to help start-ups and stimulate innovation.
The move is part of a series of government efforts to ease financing difficulties for SMEs as banks usually favor big state-backed giants.
Wednesday's meeting also seeks to improve law enforcement in urban areas, adopting unified uniforms and logos for urban management officers, who are known as "chengguan".
In addition, the State Council passed revised drafts on education of the disabled, disability prevention and rehabilitation.