China Prioritizes Market Stability and Capital Access for Tech Development
In response to market volatility, China's top financial regulator has emphasized the need for market stabilization, confidence restoration, and positive outlook management.
Wu Qing, head of the Securities Regulatory Commission, highlighted the importance of supporting President Xi Jinping's goal of transforming China into a "financial power." This includes providing capital-market funding for companies with innovative technology, such as AI, biosciences, and robotics.
Since late September, China has implemented stimulus measures to restore confidence. The CSI300 index has risen by over 20%, but concerns remain due to uncertainties regarding U.S.-China trade relations and President Trump's tariffs.
Wu emphasized the shift in capital market focus from scale expansion to targeted support for key technologies that drive industrial development. Despite the size of China's capital markets, he noted insufficient financing for innovation. He called for improved market structures and enhanced support for scientific and technological advancement.