Policymakers should focus on curbing risks and check underground trading

About half of the companies listed on the Shanghai and Shenzhen exchanges have temporarily suspended trading their shares, as the Chinese stock market continues to tumble. The benchmark Shanghai Composite Index on Wednesday declined sharply to 3,507.19 points. Comments:

To bolster the stable development of the stock market and inject liquidity into the market, the central bank will work closely with the China Securities Finance Co Ltd in various ways, including conducting inter-bank lending and issuing financial bonds, to ensure sufficient liquidity. The bank will also keep a close eye on the market while assisting the CSF to stabilize it, in a bid to avoid systemic and regional financial crises.

The People's Bank of China, July 8