Government backs creation of emerging industries board

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  June 17, 2015 (China Daily) -- The State Council, China's cabinet, issued a statement officially supporting the creation of a strategic emerging industries board on the Shanghai Stock Exchange, to help high-growth and innovative enterprises raise funds through the capital market. It is the first time the central government has given its official nod to such a move, said analysts, who now expect the board to be in place soon. The launch has been widely viewed as Shanghai's effort to catch up with domestic rival, the Shenzhen Stock Exchange, which has already been successfully attracting technology and innovation-driven companies to list on its Nasdaq-style startup and growth enterprise board, known as ChiNext. "It is obvious that head-to-head competition between the two stock exchanges over initial public offerings for startup companies is growing," said Xu Hongcai, an economist at the Beijing-based China Center for International Economic Exchanges.
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