China approves futures and derivatives law
Chinese lawmakers on Wednesday voted to pass a law on futures and derivatives to better protect the interests of investors and promote the development of the futures market to better serve the real economy.
The law, which will enter into force on August 1, 2022, was approved by the 34th session of the 13th Standing Committee of the National People's Congress (NPC) Standing Committee.
A special law is needed to tighten control over China's derivatives market, which is the largest in the world in terms of scale, said Li Zhengqiang, a researcher at the University of Foreign Trade and Economics.
At the end of 2021, the Chinese futures market recorded a record level of both the amount of transactions and the volume of trading operations, which amounted to 581.2 trillion yuan (about 90.8 trillion US dollars) and more than 7.5 billion lots, respectively , according to data from the China Futures Association.