Chinese lawmakers on Wednesday, voted to adopt a law on futures and derivatives to better protect investors’ interests and develop the futures market in favor of the real economy.
The law, to take effect on Aug. 1, was approved at a session of the Standing Committee of the National People’s Congress, China’s top legislature.
Li Zhengqiang, researcher at the University of International Business and Economics, said that China’s financial derivatives market, one of the largest in the world, requires a law specifically made for its regulation.
China’s futures market posted record-setting trading volume and turnover in 2021, which stood at 581.2 trillion yuan (about 90.8 trillion U.S. dollars) and over 7.5 billion lots, respectively, data from the China Futures Association showed.