Money

China ranks higher up on earth by stock market capitalization

(Xinhua)
Updated: 2010-12-31 10:04

BEIJING - China has 2,062 listed companies, ranking the second in the world by market capitalization of stocks, said Shang Fulin, chairman of the China Securities Regulatory Commission, Thursday.

The number of stock investors has totaled 130 million, Shang said at a symposium held to mark the 20th anniversary of the emergence of capital markets in the mainland.

"The capital markets have played a vital role in expanding fund-raising channels, optimizing resource allocations and diversifying risks in the past two decades," Shang said, "The mainland's capital markets, however, are still in their infancy compared with those in developed countries."

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China will make more efforts to improve its capital market system and structure in the future.

"A multiple-tier stock market system will also be improved so that a stock market system consisting of the main board, small- and medium-sized enterprises board and the Nasdaq-style ChiNext board, along with the over-the-counter market will take shape, featuring rational structure, complete functions and efficient operations, Shang said.

The capital markets will also help guide input and social resources to the competitive emerging industries and high-growth companies to promote industrial upgrading, he said.

Further, Shang said China would strengthen supervision of the capital markets, crack down on all types of irregularities and enhance monitoring of overseas capital inflows.