Several Opinions of the State Council on Further Promoting the Healthy Development of the Capital Market
Several Opinions of the State Council on Further Promoting the Healthy Development of the Capital Market
Several Opinions of the State Council on Further Promoting the Healthy Development of the Capital Market
Guo Fa [2014] No.17
May 8, 2014
All people's governments of provinces, autonomous regions and municipalities directly under the Central Government and all ministries and commissions and all directly affiliated institutions under the State Council,
The further promotion of the healthy development of the capital market and the improvement of multi-level capital market system are of great importance to accelerate the improvement of modern market system, broaden the investing and financing channels for enterprises and residents, optimize the allocation of resources and promote economic transformation and upgrading. Over the past two decades, with the rapid development of China's capital market, a market system covering stocks, bonds and futures has been initially formed and has made important contributions to promoting the reform and opening-up and economic and social development. However, in general, China's capital market is still not mature; there are still some institutional and mechanical issues while new problems appear constantly. In order to thoroughly carry out the spirits put forward at the 18th National Congress of the CPC, the Second Plenary Session of the 18th Central Committee of the CPC, and the Third Plenary Session of the 18th Central Committee of the CPC, conscientiously implement the decisions and arrangements of the Party Central Committee and the State Council, and realize the healthy development of the capital market, the following opinions are hereby rendered.
Article 1 General Requirements
1. Guiding ideology.
We shall uphold the great banner of socialism with Chinese characteristics and follow the guidance of Deng Xiaoping's theory, the important thought of "Three Represents" and the Scientific Outlook on Development to implement the decisions and arrangements of the Party Central Committee and the State Council, free up the mind, reform, innovate and forge ahead. We shall also adhere to the orientation of marketization and legalization, maintain an open, fair and impartial market order, and safeguard the lawful rights and interests of investors, especially the medium and small ones. Moreover, we shall closely focus on promoting the development of the real economy, stimulating innovation and vitality of the market, expanding breadth and depth of the market and enhancing the two-way opening of the market to facilitate the harmonious development between the direct financing and the indirect one, improve the proportion of the direct financing and prevent and disperse financial risks. Besides, we shall drive the development of mixed-ownership economy, improve the modern enterprise system and corporate governance structure, enhance the competitiveness of enterprises and facilitate capital formation and equity transfer so as to play a better role of the capital market in optimizing resource allocation, accelerate innovation and entrepreneurship, structural adjustment and the sustainable and healthy development of economy and society.
2. Basic principles
To conduct the reform and development of the capital market, we should proceed from our national conditions, and actively adopt the international experiences, with the following principles to be followed:
First, well manage the relationship between the market and the government. Follow the market disciplines and realize the maximum benefit and efficiency according to the market rules, price, and competition to give the full play to the decisive role of the market in resources allocation. Meanwhile, let the government play a better role in fulfilling its supervision responsibility, to realize the scientific and appropriate supervision, create the fair market environment, protect the legal rights and interests of the investors and effectively maintain the market order.
Second: well manage the relationship between innovative development and risk prevention. Oriented by market and aiming for improving the market serving ability and efficiency, encourage and lead the innovation of capital market. In the meantime, strengthen the risk prevention, carry out the risk monitoring, early warning and disposal throughout the process of innovative development of the market and always ensure the prevention of the systematic or regional financial risks.
Thirdly: well manage the relationship between assuming risks by investors themselves and strengthening protection of investors. Intensify educating and training the investors to develop the concept of rational investment, assuming risks and profits or losses by themselves, and improve their risk awareness and self-protection ability. Meanwhile, make the rights protecting system for investors, especially for the medium and small investors, sound, guarantee the rights to be informed, to participate, to claim and to supervise of the investors, and earnestly protect the legal rights and interests of the investors.
Fourthly: well manage the relationship between actively progressing and steadily implementing. Looking ahead to the future, unswervingly make progress in the reform as a whole. At the same time, intensify the top-level design of the market, improve the systematization, pertinence and synergy of reform measures, control the efforts, pace and market tolerance to the reform, steadily carry out the policies and measures, and put forth efforts to maintain the stable development of the capital market.
3. Main tasks
Speed up the establishment of multi-channel and high-efficient stock market wide in coverage and strict in supervision, standardize the development of bond market, develop the option market, and vigorously optimize the market system structure, operation mechanism, infrastructure and external environment, so as to realize the diverse offering manners, rich investment and financing tools, complete risk management functions and the harmonious development of floor and over-the-counter trading and public and private placement.
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