China to set up third stock exchange in Beijing

China plans to open a new stock exchange in Beijing, after the Shanghai and Shinjin stock markets.

President Xi Jinping, in his speech at the China International Services Industry Fair, announced that a new stock exchange will be established in Beijing.

China's Securities Regulatory Commission, in a statement released after Xi's speech, said the new stock market "is part of a strategic plan to enable capital markets to better serve China's new development strategy."

In the statement, it was noted that all of the companies that will be included in the new stock exchange are planned to be innovation-oriented enterprises that still operate over the stock market.

It was stated that the new listing system will be similar to the STAR list of the Shanghai Stock Exchange, which includes the shares of technology companies.

The stock exchange to be established in Beijing is expected to include small and medium-sized businesses seeking investment in the growing internet and services sectors.

The new exchange will be the third stock exchange to be established in mainland China, after those in Shanghai and Xinjiang. Apart from these, there is a stock exchange in the Hong Kong Special Administrative Region of China.

Foreign investment ban and negative list
In his speech, President Xi stated that new digital commerce pilot zones are also planned to be established in different cities across the country.

Stating that they plan to ban foreign investment in some sectors in China, Xi emphasized that they will adopt the negative list approach that requires the approval of the central government for foreign investments in some sectors.