CSRC: Fully consolidate the steady and positive momentum of the capital market

The Party Secretary and Chairman of the China Securities Regulatory Commission (CSRC), Wu Qing, recently stated at the symposium with listed companies on the “14th Five-Year Plan” for the capital market that the CSRC will develop and implement the “14th Five-Year Plan” for the capital market with high quality, fully consolidating the steady and positive momentum of the market, and quickly promoting the deepening of the GEM reform.

Wu Qing said that the CSRC will comprehensively, profoundly, and accurately understand and grasp the important deployments of the Fourth Plenary Session of the 20th Central Committee of the Communist Party, strengthen research on major issues related to reform, development, and stability of the capital market during the “14th Five-Year Plan” period, unify strategic needs with practical possibilities, and align market demands with regulatory goals, ensuring high-quality development and implementation of the “14th Five-Year Plan” for the capital market.

He emphasized that the focus should be on preventing risks, strengthening regulation, and promoting high-quality development. The goal is to fully consolidate the positive momentum of the market, focus on continuously deepening the comprehensive reform of investment and financing in the capital market, improve the inclusiveness and adaptability of the system, accelerate the reform of the GEM, continuously promote the reform and implementation of the STAR Market, enhance the convenience, flexibility, and attractiveness of refinancing systems, promote high-quality integration of the Beijing Stock Exchange and the New Third Board, expand the coverage and radiation of multi-level markets, and more effectively support the construction of a modern industrial system and the development of new productive forces. Wu Qing also stated that listed companies are the foundation of the capital market; they should focus on their main business, improve governance, strive to enhance development quality, and increase their ability to deliver returns to investors, providing a solid foundation for high-quality market development.

During the symposium, participants offered specific suggestions on how to develop the “14th Five-Year Plan” for the capital market, improve system inclusiveness and adaptability, and enhance the quality and investment value of listed companies. Key suggestions included: continuously optimizing issuance and listing system rules to better meet the needs of emerging industries, future industries, and traditional industry transformation and upgrading; improving the efficiency of refinancing for listed companies to better activate the M&A and restructuring market; fostering patient capital and promoting long-term funds entering the market to better match the long-cycle needs of industrial development; improving mechanisms for dividends, buybacks, and incentives to urge listed companies to operate more规范ly and disclose information more effectively; increasing policy support for the globalization of listed companies to help cultivate world-class enterprises.

The “Suggestions of the Central Committee of the Communist Party of China on Formulating the 15th Five-Year Plan for National Economic and Social Development” proposed to enhance the inclusiveness and adaptability of the capital market system and to improve the functions of the capital market that coordinate investment and financing. It advocates actively developing direct financing channels such as equity and bonds, and steadily developing futures, derivatives, and asset securitization. Recently, the CSRC has conducted extensive research on the “14th Five-Year Plan” for the capital market, holding forums with listed companies and industry organizations, as well as expert seminars on the plan. The CSRC stated that it will continue to deepen comprehensive reform of investment and financing in the capital market, improve system inclusiveness, adaptability, competitiveness, and attractiveness, strive for qualitative improvements and reasonable quantitative growth, and effectively enhance market stability. (Reporter: Wu Lihua)

(Edited by: Wen Jing)

Keywords: Capital Market