Head of China’s securities market regulator shifted against the backdrop of the collapse of the market – RBC

The head of the Commission on the China securities Regulatory Xiao Gang Photo: AFP

Head of the Chinese Commission on the CSRC (CSRC) Xiao Gang dismissed. His work has been criticized after the collapse of the stock market of China
 

The head of the Commission for the Regulation of China Xiao Gang securities dismissed, said the agency “Xinhua”. the resignation of Xiao Gang decision took the Communist Party of China and the State Council.

Place Xiao Gang took Liu Shiyu. Until 2014, he served as deputy chairman of the Central Bank of the country, is also the chairman of the Agricultural Bank of China.

Information about the possible resignation of Xiao Gang appeared on the eve of the publication Wall Street Jornal. The newspaper, citing informed sources reported that in the coming days is expected to classified resignation of the stock market regulator. WSJ noted that the resignation of Xiao Gang may occur after months of criticism for the work of his department and the overall actions of the government on the management of the economy.

Xiao Gang led the Commission in March 2013. The measures taken by him after the stock market crash in the summer of 2015, have been criticized by traders and other officials, who said that the regulator’s actions only increased the volatility

In the summer of last year, the Chinese stock exchanges have experienced the biggest drop:. Then the key index of the Chinese stock exchange Shanghai Composite in a few weeks fell by more than 40%. This, in turn, had a negative impact on stock markets around the world. Volatility in the China stock exchanges resumed in the first week of January after stabilizing in the fourth quarter. In late January, the key Chinese index dropped to 13-month low against the backdrop of slowing economic growth and fears of strengthening capital outflows.

One of the most successful traders in the Chinese stock market, Huang Weimin, predicted in an interview with Bloomberg, that the Shanghai Composite index by 15% may fall in the first half of 2016, since the devaluation of the RMB and the pace slows ix Chinese economy stimulate capital outflows from China.