China has removed the head of its
securities regulator as the country tries to
tackle major volatility in its stock markets.
Xiao Gang was replaced by Liu Shiyu as the
chairman of the China Securities Regulatory
Commission (CSRC), state media report.
Mr Xiao was in charge when China’s bourses
crashed in mid-2015.
At one point the Shanghai and Shenzhen stock
exchanges lost as much as 40% of their value.
In January, China suspended its new “circuit-
breaker” mechanism, which was designed to
stop free-falling prices.
But instead of calming investors the circuit-
breaker caused them to panic, leading to the
stock market shutting down twice in the space
of one week last month.
Mr Liu until now was the chairman of the
Agricultural Bank of China – one of the
country’s top four banks.