When MSCI announced a partial inclusion of China A shares in three of its indices in 2018 it was seen by many as a signal that the country’s capital market had truly arrived. Great things were expected. What happened next was mostly not foreseen: a new virus appeared in Wuhan; Jack Ma spoke out and the Ant IPO was suspended; an anti-trust law designed to control tech giants was proposed, followed by stricter cyber security controls and the suspension of the Didi IPO in New York; and the listed educational sector was harshly reined in. Motivating these rapid policy changes were concerns on the part of Beijing about defending national security, encouraging domestic competition, and promoting common prosperity. Then came the collapse of a hugely indebted property giant, more provincial bank frauds, and news about large corporate donations.

With the dust hopefully starting to settle, what kind of capital market and economy is emerging? What are the priorities of key financial and business regulators over the coming year? How is China’s industrial policy evolving, especially in the area of high-tech, semiconductors, and electric vehicles? What are the implications for state-owned enterprises? Can foreign investors expect a more stable policymaking environment going forward? And what is the status of ESG reporting? This panel will debate these issues and consider them in light of the recent 20th Party Congress in October, the third term for Xi Jinping, and current geopolitical tensions with the West. It will also touch on how China compares with Asia’s other major emerging economy—India.