Chinese yuan Photo:VCG

Senior Chinese officials from several departments vowed on Wednesday to take concrete measures to further support the high-quality development of venture capital,MK sports as part of an effort to boost technological innovation and sound development of the capital market. 

It comes after the State Council, the cabinet, approved a guideline to promote the high-quality development of venture capital. The latest pledges from Chinese officials underscored the country's determination to create a favorable environment for venture capital. 

At a news conference on Wednesday, Li Chunlin, vice chairman of the National Development and Reform Commission (NDRC), the top economic planning agency, said that the guideline offered comprehensive policy measures for all aspects of venture capital, including raising funds, investing and managing.

Li said that the NDRC, along with other departments, will fully implement the guideline and promote the high-quality development of venture capital. Notably, Li said that the NDRC will also take multiple measures to enhance the ability of venture capital institutions to raise long-term and stable funds for the development of new productive forces and to serve the real economy. 

According to an official circular on June 19, the State Council has approved a slew of policies and measures for promoting the high-quality development of venture capital. Favorable policies and better management mechanisms will be put in place to actively support the development of venture capital, and the role of venture capital will be fully leveraged in strengthening technological innovation, according to Xinhua.

At the news conference on Wednesday, Wu Meng, an official from the China Securities Regulatory Commission (CSRC), said that the regulator will work to create a more favorable environment for venture capital, including continuously deepening reform in the capital market and making differentiated supervision arrangements.

By the end of the first quarter of this year, there were 12,500 private equity and venture capital fund managers registered with the China Asset Management Association, managing 55,000 funds with total capital of 14 trillion yuan. Among them, there are 104,000 investment projects in key scientific and technological innovation fields such as information technology, semiconductors and biomedicine, with investment capital of 4.6 trillion yuan, according to Wu.

The CSRC official also said that the regulator will continue to maintain smooth overseas listing channels, noting that since the implementation of trial regulations for Chinese firms' overseas listing in March 2023, a total of 158 companies have completed registration for overseas listings, of which 85 are listed in the Hong Kong Special Administrative Region and 73 are listed in the US.

Wang Hailin, an official from the State-owned Assets Supervision and Administration Commission, also said at the news conference on Wednesday that the regulator will offer greater support for centrally administered state-owned enterprises' venture capital funds and guide them to increase investment in leading technology firms, the transformation of scientific and technological achievements, and small and medium-sized enterprises in the upstream and downstream areas of the industrial chain.

Global Times