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Banking & Finance Economics & Trade Law & Regulation Politics & Society

World Bank warns of urgent need to reform China's finance sector

A new World Bank report on China’s economy says the country urgently needs to take measures to reform its financial system, The Financial Times reported. “Financial reform will only prove effective if it removes the distorted incentives and poor governance structures that have affected how financial resources are mobilized and allocated,” the bank said in […]

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Banking & Finance Investment Law & Regulation Markets

Regulators to cut stock trading transaction fees by 30% starting August 1

Transaction fees at the Shanghai and Shenzhen stock exchanges will be lowered by 30% to 0.0487 per 1,000 of the transaction amount effective August 1, South China Morning Post reported, citing state-run news service Xinhua. The announcement comes after Shanghai shares closed down 5.22% Wednesday, resuming a downward trajectory one day after recording their biggest […]

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Banking & Finance Investment Law & Regulation Markets

Shadow margin debt may nearly double leverage of China's stock market

Margin debt at mainland brokerages totaling RMB2.2 trillion (US$354 billion) – racked up by traders borrowing to invest in China’s stock market – may only cover just under half of the actual total when money borrowed from unsanctioned lenders such as trusts is included, Reuters reported, citing analysts and grey market lenders. Total leverage could be […]

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Banking & Finance Law & Regulation Tech, Media & Telecom

Amazon plans entry into China's online business loans industry

Amazon.com plans to launch a business loan program for small sales enterprises in eight new countries including China, Reuters reported, citing a statement from Peter Faricy, head of Amazon Marketplace. In China, where Alibaba lends to small businesses, offering such loans is more of a business requirement, analysts said. Since 2011, Alibaba affiliate Ant Financial’s Ant Micro […]

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Banking & Finance Investment Law & Regulation Markets

Short sellers still underserved by mainland's A-share market

Astronomic share valuations have gone largely un-sniped by short sellers looking to bet against China’s stock rally as the only easily traded equities derivatives in the A-share market remain restricted to a broad negative wager on major firms, rather than more popular sector and stock-specific bets, The Wall Street Journal reported. “If you want to […]