Shenzhen growth market will lower standards elsewhere

Author: | Published: 1 May 2009
China has frozen domestic IPOs to try and protect shares

In a move that could pull down standards at the Shanghai and Shenzhen stock exchanges, the government has indicated that a new growth market could soon be introduced at Shenzhen.

At the end of March, the China Securities Regulatory Commission set out plans to regulate its Growth Enterprise Market. These were set to come into effect on May 1, suggesting the market itself may be established soon.

"China knows it needs to improve the quality of the main board of the Shanghai and Shenzhen stock exchanges and the companies listed on...