ABSTRACT
This chapter delves into the ill-fated attempts to internationalize the onshore equity market, centering on Shanghai’s futile quest for an international board. It explores how a pro-opening coalition led by the Shanghai authorities and financiers successfully obtained the blessing of the securities regulator and Beijing’s top elites, but failed to make policy concessions around technical and regulatory issues, therefore meeting resistance from dissenting parties. The coalition also missed important opportunities to expand the base of its political support to other financial hubs. The lack of support and a thinning consensus within the Chinese financial bureaucracy meant Shanghai’s initiative was doomed.
