Re-lending business gets green light from authorities

Securities regulators have mapped out rules to pilot a program allowing securities brokerages to re-lend borrowed money and securities to finance margin trading.

The new move is set to further boost fledging yet fast-growing margin trading in the mainland's stock market, but could further pressure a market that is retreating toward the psychologically important level of 2000 points, analysts say.

The China Securities Regulatory Commission issued a notice on Monday allowing the Shanghai and Shenzhen stock exchanges to start the program, instructing them to choose the right time to launch it, initially on a trial basis.