BEIJING (Reuters) - China has decided to reduce the stamp duty on stock trading by half, effective from Monday, in an effort to boost the struggling market amidst a sluggish recovery in the world’s second-largest economy.
The finance ministry, in a brief statement on Sunday, announced the reduction of the 0.1% duty on stock trades, stating that it aims to “invigorate the capital market and boost investor confidence“.
According to a report by Reuters on Friday, the authorities had planned to cut the duty by up to 50% after a key share index reached its lowest point in nine months.
“While this policy may provide a temporary boost to the market, its long-term impact is expected to be limited,” commented Xie Chen, a fund manager at Shanghai Jianwen Investment Management Co, prior to the announcement. “The market rebound may only last for a few days, or even a shorter period.”
In late August, China’s leaders made a commitment to revitalize the stock market, which is also the second-largest in the world. The market has been struggling due to the ongoing effects of the pandemic recovery and a property debt crisis…
2023-08-27 04:30:41
Article from finance.yahoo.com
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