During the meeting, it was emphasized that efforts should be made to revitalize the capital market and instill confidence among investors. These efforts are coordinated and integrated with measures to stabilize investment, promote consumption, and strengthen various industries.

The effective utilization of the capital market mechanism is essential for accelerating overall economic recovery and achieving high-quality development.

Useful macro-policy tool

Capital market-related policies and measures are crucial components of the macro-policy system. By invigorating the capital market and bolstering investor confidence, the implementation of proactive fiscal policies and prudent monetary policies can be supported.

Macro-economic and industrial policies will be translated into practical action through the functioning of listed companies, creating a reciprocal effect in the market. An active capital market will also serve as a catalyst in facilitating the implementation of fiscal and monetary policies.

Lifting demand

Secondly, a vibrant capital market is beneficial for expanding domestic demand.

Currently, the domestic economy is facing the challenge of insufficient demand. Actively expanding consumption and investment demand cannot be achieved without the support of the capital market.

Through policy transmission, it can promote relevant listed companies to use limited funds effectively, increase the supply of high-quality products such as automobiles, electronic products, and furniture, and enhance the supply of high-quality services such as sports and leisure, culture, and tourism.

In particular, listed companies, as the vanguard of corporate groups, play a leading role in the industrial chain, supply chain, and innovation chain. Their stable operation can drive the development of more small and medium-sized enterprises and expand consumption demand by increasing the income of relevant employment groups.

Building modern industrial system

Building a modern industrial system requires the presence of an active capital market. Such a market can effectively allocate high-quality resources, including human resources, land, capital, technology, and data, to industries in dire need of development. This allocation process creates a market-driven operating model that aligns with industry needs and accelerates the construction of a modern industrial system.

It was emphasized at the meeting that deepening reform and opening up is crucial. This includes improving the core competitiveness of state-owned enterprises and providing a supportive environment for private enterprises.

A significant characteristic of the capital market is its transparency in information, fair pricing, and high liquidity. These attributes strengthen the constraints on companies, including capital, shareholders, and mechanisms.

China should focus on stabilizing foreign investment and foreign trade while actively expanding domestic demand. To energize the capital market, it is important to promote its institutional opening up. This involves enhancing the interconnection between domestic and foreign markets, facilitating foreign capital participation, and encouraging qualified securities institutions to venture abroad.

Although China's economy is still in the recovery phase and faces challenges, its solid industrial foundation, immense market potential, and the cumulative effects of economic stabilization policies implemented this year indicate that there is a solid and growing potential for continued economic development.

To unleash market vitality and creativity, China must continue to strengthen macro-policy regulation, coordinate policies, and promote the market-driven growth of enterprises. It is essential to activate the capital market, boost investor confidence, and foster positive interaction and shared prosperity between the capital market and the real economy.