THE planned growth enterprise market didn’t intend to divert investment from the main board but would attract new sources of funds, domestic media quoted a vice chairman of the China Securities Regulatory Commission, as saying yesterday.

“The introduction of a growth enterprise market will have little impact on the main board,” Yao Gang said in an online interview on the central government’s Web site. He said the launch of growth enterprise markets in some other countries didn’t result in declines on the main board.

Some investors are concerned the planned growth enterprise market will divert funds from the main board and push the domestic stock market, which has already been declining in recent months, even lower.

But Yao sought to allay such concerns, saying China’s vast deposits provide a potential source of new funding for the growth enterprise market.

China’s outstanding yuan deposits totaled 40.49 trillion yuan (US$5.74 trillion) at the end of February, up 17.22 percent year on year, according to the central bank.

The securities regulator issued draft rules Friday for share listings on a planned growth enterprise market, moving the country a step closer toward introducing the much-anticipated second board.

 (SD-Agencies)