Yin Yanlin: Increasing the proportion of direct financing is an important prerequisite for enhancing the inherent stability of the capital market

On December 21st, Yin Yanlin, Deputy Director of the Economic Committee of the 14th National Committee of the Chinese People’s Political Consultative Conference, stated at the 2024 China Wealth Management 50 Person Forum that increasing the proportion of direct financing is an important prerequisite for enhancing the inherent stability of the capital market. Only by increasing the proportion of direct financing, opening up the possible boundaries of market capital activities, focusing on optimizing the ratio of direct and indirect financing, equity and debt financing, and establishing a sound and rational financial market system, can we provide more sources of vitality for the stable development of the capital market. Yin Yanlin also stated that a sound multi-level capital market system is an important foundation for enhancing the inherent stability of the capital market. To cultivate an open, transparent, and healthy capital market, efforts should be made to strengthen the investment and financing functions of multi-level capital markets, so as to significantly increase the proportion of direct financing, especially equity financing.

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