SHANGHAI: Companies from western regions and five autonomous ethnic regions will be encouraged to list and receive policy support for initial public offerings, the state news agency Xinhua reported Wednesday, citing comments from a regulatory official.
These companies will be eligible for expense deductions and other favorable policies when applying for IPOs, said Jiang Yang, vice chairman of the China Securities Regulatory Commission at a working conference.
More capital will fund agricultural projects to support leading agricultural companies, Jiang also said.
China has recently resumed IPOs after a long freeze this summer amid turmoil in its equity markets which took benchmark indices down around 40 percent from mid June highs.
Beijing has also struggled to reduce financing costs for small and medium sized firms, many of which have trouble accessing affordable bank credit even though they are responsible for much of China's employment and growth.
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