The Chinese government is giving small and medium-sized enterprises a leg-up. President Xi Jinping announced the country would establish a stock exchange in Beijing to service these types of businesses.

"We will continue to support the innovation-driven development of small and medium-sized enterprises by establishing the Beijing Stock Exchange as the primary platform for innovation-driven SMEs, " Xi said at the opening of the China International Fair for Trade in Services (CIFTIS).

China already has two major stock exchanges located in Shanghai and then Shenzhen on the border with Hong Kong. It's not yet clear when the new stock exchange will begin operating.

China's tech clampdown

Since the end of 2020, Beijing has clamped down on big tech business with a series of regulatory interventions targeting some of the country's top companies 

The regulations have slashed billions in market value from Chinese tech companies listed on stock markets in the US and Hong Kong. 

Ant Group, an e-commerce affiliate of Alibaba, was among those in the government's crosshairs. In November 2020 just before the company was due to list in an anticipated record-breaking share sale, regulators implemented new lending laws which led to the company's suspension.

E-Commerce giant Alibaba was slapped with a $2.8-billion fine for anti-monopoly violations, shortly after listing in the US.

In June, ride-hailing company Didi Chuxing was barred from taking on new users, just days after listing on the New York Stock Exchange. The move wiped out a fifth of the company's share price.

There have also been measures taken against the cryptocurrency sector, with financial regulators banning banks and online payment firms from using cryptocurrency as payment.

These regulatory hurdles have made it more difficult for Chinese startups to raise foreign capital. 

In August, Beijing said it would also be bringing in new regulations that would curb the number of hours children under the age of 18 could play video games.

Under the new rules, children would only be allowed to play games three hours a week. Authorities have expressed their concern over the impact gaming is having on the youth.

The decision has come as a blow to the country's multi-billion dollar gaming industry. Stocks have dropped for many the country's gaming heavyweights.

kb/wmr (AP,dpa, Reuters)