Top news of the week
Five authorities jointly tighten regulation over credit rating industry
March 29, 2021
Five ministries and commissions, including the PBOC, the NDRC, the MOF, the CBIRC, and the CSRC, have jointly published the Notice on High-quality and Healthy Development of the Rating Industry (draft soliciting public opinions), aimed at remediating the issues that have become evident in credit rating over the past years.
Three authorities jointly issue notice to extend import tariff exemption for integrated circuit and software companies
March 30, 2021
Three Chinese authorities, including the Ministry of Finance, the General Administration of Customs, and the State Taxation Administration, have jointly issued a notice to extend an import tariff exemption through 2030 on the raw materials and equipment needed by the nation’s integrated circuit and software developers to help support their development. Eligible businesses include those that meet certain technical standards for producing memory and integrated circuits and that import materials and consumables that cannot be made in China or domestic supplies do not meet their needs.
China’s top legislature adopts amended annexes to HKSAR Basic Law
March 31, 2021
The Standing Committee of the 13th National People’s Congress (NPC), China’s top legislature, have voted to adopt the amended Annex I and Annex II to the Basic Law of the Hong Kong Special Administrative Region (HKSAR). The two annexes respectively concern the method for the selection of the HKSAR Chief Executive and the method for the formation of the HKSAR Legislative Council and its voting procedures.
Shenzhen Stock Exchange to merge main board and SME board
April 1, 2021
The Shenzhen Stock Exchange, one of two stock exchanges operating independently in mainland China, will merge its main board and SME board on April 6 with the approval of the China Securities Regulatory Commission, the national regulatory body that oversees the securities and futures industry.
The 14th Five-Year development plan for e-commerce to be issued in the second half of the year
April 2, 2021
China’s Ministry of Commerce spokesperson Gao Feng has said that the ministry has collected opinions from all relevant parties including enterprises, scholars, and local authorities regarding the 14th Five-Year development plan for e-commerce, adding that the plan will be issued in the second half of the year.
Insight of the week:
China’s top legislature has voted unanimously to adopt the amended annexes to the Basic Law of the HKSAR. The amendments make changes to HKSAR’s current electoral system, primarily in the formation of the Election Committee, which is in charge of selecting the HKSAR’s chief executive and part of the Legislative Council. According to the amendments, the composition of the Election Committee will increase to 1,500 members from five sectors from the existing 1,200 members of four sectors. The amendments can be treated as a China’s vital move to ensure that the principle of “one country, two systems” remains unchanged, enhance the governance efficacy in the HKSAR, and effectively address its various issues. It can be predicted that as with the completion of the electoral system reform, the HKSAR will be bonded more closely with the mainland’s sovereign interests so it can resume its economic development, resolve the deep-seated social instability and cope with potential external interventions.
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