The National standing Committee examined and approved the regulations on the Supervision and Administration of Private Investment funds (draft)

The National standing Committee examined and adopted the regulations on the Supervision and Management of Private Investment funds (draft). On 16 June, Li Qiang presided over an executive meeting of the State Council to examine and approve the regulations on the Supervision and Administration of Private Investment funds (draft). The meeting pointed out that in recent years, China's private investment fund industry has developed rapidly and has played a positive role in serving the real economy and supporting entrepreneurship and innovation. The formulation of special administrative regulations to bring the business activities of private investment funds into the track of the rule of law and standardization will help to better protect the legitimate rights and interests of investors and promote the standardized and healthy development of the industry. In view of the outstanding problems in the industry, it is necessary to strengthen source control, draw a regulatory bottom line, and severely crack down on illegal financial activities such as illegal fund-raising in the name of "private equity funds." It is necessary to strengthen the coordination of supervision, management and development policies, implement differential supervision over different types of private equity funds, especially venture capital funds, and step up the introduction of specific policies to promote the development of venture capital funds.