Li talks up government move to stabilize market

Chinese Premier Li Keqiang speaks with global corporate leaders at the Annual Meeting of the New Champions of the World Economic Forum in Dalian, Liaoning province on September 9, 2015. [Photo provided to China Daily]

The government's bailout of the stock market is not meant to weaken its role but is instead a practice followed globally, Premier Li Keqiang said on Wednesday.

Li, making the remarks at a meeting with global corporate leaders at the annual meeting of the New Champions of the World Economic Forum in Dalian, said the government has taken steps to stabilize the market and prevent the possibility of systematic risks.

Stock market turmoil and the yuan's depreciation have triggered concern among international investors of a deepened slowdown in the world's second-largest economy.

In the latest move, the China Securities Regulatory Commission introduced a circuit breaker into China's stock market in order to reduce extreme volatility and deepen financial reforms.

The Shanghai Composite Index has dropped by about 40 percent since July.