China Think Tank Urges $281 Billion for Market Stabilization
- Report on State Council-linked think tank presses for new fund
- Think tank also urges central bank to look at inflation target
Customers purchase food at a stall in Wuhan, China.
Photographer: Qilai Shen/BloombergChina should issue 2 trillion yuan ($281 billion) of special government bonds to help create a market stabilization fund, according to a top government-linked think tank.
The fund would promote market stability through the buying and selling of blue-chip stocks and exchange-traded funds, Chinese media outlet the Paper reported, citing a release from the Institute of Finance & Banking at the Chinese Academy of Social Sciences. That think tank is affiliated with the State Council, China’s cabinet.