July 18, 2015

"Asked if he thought China's 2 trillion yuan debt-swap program, designed to ease refinancing for highly indebted local governments and rev up economic growth, needed to be expanded, Zhu said the size should be sufficient, for now."

Reuters China must learn lessons from its stock market rout, the country's vice finance minister said on Saturday, signaling his intent to focus on supervision and the development of new frameworks to make it possible to weather any future market turbulence. By Karin Strohecker and Sarah Young

China's stock market plunged by nearly a third at one stage earlier this month from a mid-June peak, wiping around $4 trillion from share values as investors were spooked by speculation that China's central bank was about to end its monetary policy easing.

The slide sparked China's biggest rescue effort of its equity market, with the government launching a series of moves that included halting flotations and banning companies and their executives from selling shares.

Zhu Guangyao told Reuters Beijing was considering new policies.

"There is a mismatch for supervision, and that is a real challenge," he said in an interview at the Chinese Embassy in London. "After the big up and the big down we saw, we need to learn from other countries, mature stock markets including the U.S. and U.K."

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