Shanghai planning to revitalize domestic financial market

Shanghai, the Chinese mainland's best candidate to become an international financial center, is mapping out plans to revitalize the domestic financial market by giving private capital better access via a series of pilot programs.

One such endeavor is the introduction of the financial brokers system to quench the funding thirst of small-cap firms while regulating the market, according to sources affiliated with the municipal government.

The idea of financial brokers derived from the sharp contrast between cash-strapped small-cap firms and an immense network of underground lenders that makes financing accessible, said Fan Yun, chairperson of Shanghai Fushen State Assets Evaluation Co Ltd.