China vowed policies to boost financial markets and increase economic growth as it attempted to ease investor fears on risks from the property market, overseas listings and internet companies.
Monetary policy will be proactive to respond to the need to boost the economy in the first quarter and new loans will grow appropriately, a Wednesday meeting of top economic leaders concluded, according to a Xinhua report. The Financial Stability and Development Committee meeting was chaired by Vice Premier Liu He, who’s in charge of overall economic policy and dealing with financial risks.
Stocks surged. The Hang Seng China Enterprises Index jumped 8.8% in Hong Kong, the most since 2008. The gauge plunged 26% this year through Tuesday to its lowest level since 2008. The CSI 300 Index of mainland shares climbed 3.7%.
The statement also called for new policies to handle property developers’ risks, with the meeting called for studying and introducing an effective plan to prevent and resolve risks around the companies, as well as rolling out policies to help China transform to a new development model.
China’s government continues to support all kinds of companies to be listed in overseas markets, the meeting said. Regulators in China and the U.S. have achieved positive progress on the issue of Chinese stocks listed in U.S. markets, and are working to formulate a detailed cooperation plan, according to the report.
Authorities should push forward and complete the rectification of major internet platform companies as soon as possible, and implement “standardized, transparent and predictable” regulation, according to the report. The meeting called for facilitating the stable and healthy development of the platform economy and enhancing its global competitiveness.
