Capital Market Reform Urgently Needed / 资本市场改革迫在眉睫
播音示范：Andrew
A leading financial expert in China has called for urgent reforms to the country’s stock market.
This comes after a big company called Evergrande（恒大） ran into a lot of trouble because of the money it owed.
The expert, Wu Xiaoqiu, thinks it’s really important to make sure that the rules about money are followed and that the money system helps everyone, not just big companies. He also emphasized the need for closer scrutiny of new companies entering the stock market.
The Chinese stock market got a little better on Monday after some problems. This is good news and shows that things might be getting better soon.
播音示范：Liam
A leading financial expert and senior economist is calling for urgent reforms in China’s capital market following the recent debt troubles of property giant Evergrande（恒大）. Wu Xiaoqiu, former vice-president of Renmin University of China and dean of the National Academy of Financial Research, emphasized the need for deepened reforms to prevent rule violations and prioritize the interests of investors.
The upcoming plenary session of the 20th Communist Party of China Central Committee is expected to focus on key reform and opening-up agenda points, with financial reform taking a central stage.
Wu highlighted the need to improve the regulatory mechanism systematically, emphasizing the importance of enhancing the credit system, regulatory framework, and risk identification capabilities.
He also suggested that China could learn from the US regulatory system to prevent incidents like the Evergrande fraud. The China Securities Regulatory Commission is considering new measures to strengthen administrative, criminal, and civil accountability for illegal activities to protect the legitimate rights of smaller investors.
Wu also emphasized the need to shift the focus of China’s capital market from serving the financing needs of listed companies to helping investors manage their wealth, aiming to provide better returns for investors and ensure the market’s growth.
The expert also mentioned the need for stricter evaluation of IPO applications and the suspension of the securities refinancing mechanism if necessary.
The China A-share market rallied on Monday following a downturn since late May, with the benchmark Shanghai Composite Index up by 0.92 percent.
What is the financial expert Wu Xiaoqiu’s opinion on the securities refinancing mechanism in China’s A-share market?
A) He believes it is an effective way to protect investor interests.
B) He thinks it is a crucial part of the market’s growth and should be expanded.
C) He considers it a ridiculous mechanism that overlooks many investor interests.
D) He believes it is a necessary step to prevent market downturns and should be encouraged.
C) He considers it a ridiculous mechanism that overlooks many investor interests.
Explanation: In the article, Wu Xiaoqiu is quoted as saying that the current practice of securities refinancing in the A-share market is a “ridiculous mechanism” that overlooks many investor interests. This indicates his negative opinion of the securities refinancing mechanism.
文章来自点滴成长课堂。发布者：admin，转载请注明出处。
微信扫一扫 
