China will reopen its stock markets to trust companies to help lift the number of investors, the China Securities Regulatory Commission has said in a statement on its website.

 

But it doesn't specify when the change will take effect.

 

Policymakers are striving to revive confidence in securities markets and boost economic growth. The Shanghai Composite Index fell to the lowest level since February 2009 on Friday, capping a fourth month of losses.

 

The CSRC notice didn't specify when trust companies were banned from investing in stocks. The ban was based on verbal notices in 2009, media reports said.

 

The CSRC has already announced a 20 percent cut in transaction fees on equities trading. That cut, which took effect on Saturday, will save investors 600 million yuan (US$94 million) in the last four months of the year, the regulator estimated.

 

It also outlined guidance for participation by brokerages in regional equity rights exchanges in a separate statement. 

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