China will launch a stock exchange in Beijing and build it into a platform to serve innovative small and medium-sized enterprises (SMEs), according to an announcement at the Global Trade in Services Summit of the 2021 China International Fair for Trade in Services on Thursday.
The Beijing stock exchange will play a different role in China's capital market with the Shanghai and Shenzhen stock exchanges while strengthening interconnectivity with the two stock exchanges, according to the China Securities Regulatory Commission (CSRC).
The NEEQ Select, the highest tier of the National Equities Exchange and Quotations system, will be upgraded into the Beijing stock exchange, retain its basic rules and pilot the registration-based public offering system, the commission said.
Since the launch of the NEEQ, known as the "new third board," in 2013, it has become an important platform for the capital market to serve SMEs.
A capital market system tailor-made for innovative SMEs will be established at the Beijing stock exchange, with the objective of nurturing an array of SMEs specializing in niche sectors and boasting a strong innovative capacity, according to the commission.
