China is relaxing rules for securities companies to allow them to expand their business and offer new products, another step in deepening reforms in its fledgling capital market.
Securities firms will be encouraged to develop new businesses tied to the booming online financial services market, and will be expected to help create an industry-wide payment system, the China Securities Regulatory Commission (CSRC) said in a statement on its website on Thursday, without giving further details.
Securities companies will be allowed to broaden their financing channels by raising capital through bond or share sales. Mergers and acquisitions will also be encouraged.
Chinese securities firms should also participate more in a pilot plan for cross-border stock investment between Hong Kong and Shanghai and offer a bigger range of financial services to assist two-way investment, the regulator said.
