Science-tech board for SSE to be launched
CHINESE President Xi Jinping yesterday announced the setting up of a new board on the Shanghai Stock Exchange for science and technology innovation.
The board will support the city’s development as an international financial center and as a science and technology innovation center, and improve the basic system of the capital market, the president said at the opening of the China International Import Expo.
China will capitalize on the important role of Shanghai and surrounding areas in opening-up, Xi said.
In a statement after Xi’s speech, the China Securities Regulatory Commission said it will guide the SSE to strengthen the appropriate management of investors in the technology innovation board in terms of assets, investment experience and risk tolerance to help investors participate in a rational manner.
The securities regulator will encourage small and medium-sized investors to participate in the new board through mutual funds, the CSRC said.
The CSRC and the SSE will promptly optimize the institutional rules and regulations for the technology innovation board in accordance with relevant laws, regulations and policies of the country, drawing on international experience and improving the information disclosure of listed companies.
At the same time, the regulators will continue to promote the entry of longterm incremental funds into the market, crack down on illegal activities such as fraudulent issuance, strengthen the responsibilities of intermediary agencies, and promote the steady and sound development of the capital market.
“Establishing a technology innovation board and piloting the registration system is an important reform measure for the capital market to improve the capacity of service technology innovation enterprises, enhance market inclusiveness and strengthen market functions,” the Shanghai Stock Exchange said.
Meanwhile, a new area will be added into the Shanghai Free Trade Zone to encourage and support Shanghai’s bold and innovative exploration in promoting investment and trade liberalization and facilitation, and to accumulate more replicable and expandable experience for the whole country, Xi said.
He said the regional integration and development of Yangtze River Delta region will be supported as a national strategy, focusing on implementing development concepts and constructing a modern economic system, and promoting reforms and opening-up at a higher level.
It will help improve the spatial layout of China’s reform and opening-up together with the development of the Belt and Road Initiative, the coordinated development of Beijing, Tianjin and Hebei, the Yangtze River economic belt and the Guangdong-Hong KongMacau Greater Bay Area.