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Chinese authorities attempt to revive flagging economy amid contagion fears | Business News

Chinese authorities have implemented new measures to boost investor confidence in the country’s stock market. The China Securities Regulatory Commission (CSRC) announced several measures aimed at facilitating easier trading. These include reducing the handling fees charged by brokers and relaxing rules on share buybacks, making it simpler for companies to repurchase their shares. The CSRC is also considering extending trading hours for the stock and bond markets and reducing stamp duty on share trades. These measures come in response to recent declines in both stock and bond markets, which have eroded investor confidence. The diminishing economic outlook in China, including deflation and weakened demand from the West, has contributed to this loss of confidence. Additionally, there are concerns about rising youth unemployment in the country, with unemployment rate among the 16-24 age group currently at 21.3%. The property market is another area of concern, with recent defaults by major property developers and increased worries about China’s housing sector. These issues have raised fears of contagion and a potential credit crunch.