China to promote equity crowdfunding to support start-ups
China will promote greater use of equity crowdfunding for start-ups to encourage entrepreneurship, according to a cabinet document posted on the official government website over the weekend. China's leaders have repeatedly said they want to promote more entrepreneurial activity to stimulate employment, which has been made a top priority as the economy slows, although they have, until now, refrained from showing support for crowdfunding. However, it seems that has now changed as the State Council document called for expanding equity crowdfunding projects to help small companies raise funds as a "useful complement" to traditional equity financing, while underlining the need to protect investors' rights and minimise financial risks.

"Crowd business venture start-ups" and "crowd innovation" were among the most mentioned phrases by Premier Li Keqiang during visits to Henan and Liaoning provinces in September. Photo: Xinhua