Central Huijin Buys Local Major Bank Shares
Central Huijin Investment Co, the sovereign wealth enterprise of the China Investment Corporation is purchasing more shares in two of China’s major banking institutions. On Monday, Central Huijin Investment Co. purchased 39.1 million shares of the Agricultural Bank of China. They also purchased 14.6 million shares of the Industrial and Commercial Bank of China.
This is a clear indication that Beijing is looking to stabilize equity markets and promote confidence. This isn’t the first time Central Huijin stepped in; they did so during the financial crisis.