Regulators hope the new Beijing stock exchange will channel capital at the snap of a finger. But this might be harder than they think
On September 2nd Xi Jinping, China’s president, announced that a new stock exchange will be launched in Beijing, joining existing markets in Shanghai and Shenzhen. It is hoped that the bourse, a revamp of an over-the-counter exchange called the New Third Board, will channel capital from professional investors to fast-growing small and mid-sized firms.
This is not the first time Mr Xi has backed a new stock exchange aimed at innovative companies: Shanghai’smarket opened in 2019, advertising relaxed rules that help accelerate fundraising for smaller firms. Domestic listings appear to be thriving. Shanghai will bag two of the world’s largest initial public offerings of the year, those of China Telecom, a state-owned communications company, and Syngenta, a state agrochemical giant.
The emphasis on domestic fundraising fits snugly into China’s strategy of “dual circulation”, the cornerstone of the country’s latest five-year plan, which aims to bolster domestic markets and reduce reliance on foreign ones, often on national-security grounds. It also offsets the worsening environment for overseas listings.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Xi warns Biden in phone call US Policy is straining relations with ChinaFriday marked the second call between the two world leaders since Biden took office this year.
Read more »
Biden calls Xi as US-China relationship grows more fraughtPresident Joe Biden spoke with China's Xi Jinping on Thursday amid growing frustration on the American side that high-level engagement between the two leaders' top advisers has been largely unfruitful in the early going of the Biden presidency. Biden initiated the call with Xi, the second between the two leaders since Biden took office. It comes at a moment when there is no shortage of thorny issues between the two nations, including cybersecurity breaches originating from China, Beijing's handling of the coronavirus pandemic and what the White House has labeled as “coercive and unfair” trade practices by the Chinese.
Read more »
Biden calls Xi to avoid US-China 'conflict'Chinese President Xi Jinping tells his American counterpart Biden that US policies towards Beijing have caused 'serious difficulties' and that putting ties back on track was critical 'to the destiny of the world.'
Read more »
Biden calls Xi as US-China relationship grows more fraughtPresident Joe Biden spoke with China’s Xi Jinping on Thursday amid growing frustration on the American side that high-level engagement between the two leaders’ top advisers has been largely unfruitful in the early going of the Biden presidency
Read more »
Stock Futures Rise; Metals Rally on Hopes of Reduced U.S.-China TensionsOil and metal prices, and Shanghai-listed equities, gained on hopes of reduced geopolitical tensions after a phone call between President Biden and China’s Xi Jinping.
Read more »
China 'Metaverse' stocks tumble on state media warning, regulators' attentionChinese shares seen with links to 'Metaverse', a virtual shared space based on virtual reality technologies, slumped on Thursday after their recent surge raised regulatory eyebrows and prompted state media to warn against investing in them.
Read more »