Center

Tianjin exchange on the cards

By Li Fangchao (China Daily)
Updated: 2007-03-10 09:08

Staff with the proposal-handling branch of the CPPCC on Friday sort out submissions from CPPCC members. Friday was the deadline for delivering proposals at the ongoing national session. Xinhua

China's first national over-the-counter (OTC) equity bourse is likely to be set up soon inTianjinin an effort to diversify its capital market, a senior official told China Daily.

Pi Qiansheng, director of the Administrative Committee of the Binhai New Area (BNA) in Tianjin, said the new OTC exchange would be established within the year if "everything goes smoothly" meaning it still needs approval from the State Council.

Staff with the proposal-handling branch of the CPPCC on Friday sort out submissions from CPPCC members. Friday was the deadline for delivering proposals at the ongoing national session. [Xinhua]

The BNA is widely considered to be the country's third economic engine after Pudong in the Yangtze River Delta and Shenzhen in the Pearl River Delta.

A series of preferential financial policies were introduced to boost its development last year.

The State Council is also considering using the BNA to carry out a series of pilot reforms in finance and land management.

The OTC market will mainly deal with equity transactions of unlisted public companies, Pi said.

In an OTC market, securities are traded by dealers who negotiate directly with one another over computer networks, rather than via a central exchange.