CSRC outlines priorities to resolutely stabilize stock market
The China Securities Regulatory Commission held its 2025 work conference on Monday, unveiling a series of measures to refine market mechanisms to fulfill the commitment to stabilize the country's stock market.
"We will prioritize stability as our guiding principle and make every effort to establish and consolidate the recovery and upward momentum of the market," the CSRC said in a statement following the conference.
The commission vowed to enhance forward-looking, proactive and effective monitoring and regulation of both domestic and international markets, as well as the interplay between on-exchange and over-the-counter activities and between futures and spot markets.
In collaboration with the People's Bank of China, the CSRC plans to maximize the use of two structural monetary policy tools aimed at channeling more liquidity into the stock market, while strengthening strategic reserves to build mechanisms to stabilize the market further.
The regulator also highlighted efforts to encourage long-term institutional investors by promoting long-cycle evaluation systems, enhancing the inclusiveness of Shanghai's STAR Market, Shenzhen's ChiNext and the Beijing Stock Exchange, while optimizing the overseas listing registration system to expand cross-border capital market connectivity.
In a bid to protect smaller investors, the CSRC will introduce new policies and strengthen mechanisms such as special representative litigation. Additionally, the commission will intensify efforts to combat financial fraud, enhance its ability to detect fraudulent activities, and fully implement the guidance on market value management for listed companies.
The CSRC also plans to encourage listed companies to increase dividends and share buybacks and will accelerate the rollout of regulatory frameworks to oversee the behavior of controlling shareholders and actual controllers.
It reiterated its commitment to improving the normalized delisting mechanism and enhancing investor protection measures during the delisting process.