ABSTRACT
This chapter illustrates the emergence and expansion of Chinese securities markets and the accounting information or disclosure that is required for securities listing and trading in China. The functions of Chinese accounting have been expanded as a result of the recent development of securities markets in the country. Securities investments and stock markets disappeared in China shortly after the Communists assumed power in 1949. A preliminary framework for regulating securities markets and publicly listed companies has been established in China. To develop solutions to the existing problems in information disclosure in China, a uniform disclosure system must be established. The establishment of these two stock exchanges is a milestone in the expansion of securities markets in China, indicating that securities transactions have grown from over-the-counter trading fragmented trading into centralized trading in the exchanges.
