Beijing, October 21, 2024 – The Europe Today: China is set to strengthen its support for high-quality, innovative small and medium-sized enterprises (SMEs) by promoting their listing on the Beijing Stock Exchange and the “new third board,” a specialized financing platform designed for SMEs. This strategic move is part of a broader initiative outlined in a cooperation agreement signed by the Beijing Stock Exchange, the Ministry of Industry and Information Technology (MIIT), and the National Equities Exchange and Quotations during the Annual Conference of Financial Street Forum 2024.
The agreement emphasizes enhancing coordination between these entities to foster institutional synergy, improve company cultivation, and streamline work processes, forming a unified effort to drive SME development. The initiative aims to help these enterprises leverage capital market tools such as mergers and acquisitions, restructuring, and equity incentives to support their high-quality growth.
China has already cultivated approximately 141,000 innovative SMEs, which utilize specialized and advanced technologies to create novel products. This includes 14,600 “little giant” firms—companies recognized for their expertise in niche industries and their potential for rapid growth, according to data from the MIIT.
This effort underscores China’s commitment to bolstering the role of SMEs in the national economy, further integrating them into the capital markets, and promoting sustainable and innovative business practices.
