China's share markets hit their peak value before the 2008 global financial crisis and have stayed well below that level since. A lack of gains in share prices, along with falling housing prices, has discouraged Chinese families from spending,

Starting this year, 30 per cent of the annual insurance premium from new policies will be put into yuan-denominated A shares, regulator Wu Qing said.

State-owned insurers and mutual funds are expected to play a pivotal role in the process, the China Securities Regulatory Commission and the Ministry of Finance said in a press briefing.