China’s Educational Burden Reduction New Deal Shockwave Training Institution’s share price plummets 100 billion yuan investment trapped-BBC News

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The new regulations require a significant increase in school after-school services, and in principle the end time should not be earlier than the local normal off-duty time. This rigid requirement may further reduce the market space of off-campus training institutions.

China’s education and training industry ushered in “Black Friday”. Reuters quoted three sources on the same day (July 23) that China issued a document requesting that “capitalization” operations of education and training institutions are prohibited, and subject training institutions are not allowed to go public for financing, etc. measure.

Some financial sources said that the new regulations have “one step in place” on the education and training industry, making “this track basically abolished at the capital level.”

Educational stocks listed overseas in China fell. On the 23rd, New Oriental’s stock price on the Hong Kong Stock Exchange was once “halved”. The US stocks closed down by 54.22%, Gaotu fell by 63.26%, and the future fell by more than 70%.

A day later, Chinese officials announced the document on the evening of July 24, which completely confirmed the rumors.

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