China's Wen says govt to promote healthy stock mkt

SHANGHAI, March 31 (Reuters) - Chinese Premier Wen Jiabao said China's economy was fundamentally in good shape despite the effects of outside economies, and the government would promote the stock market's stable and healthy development, a state-run Web site reported on Monday. Wen's comments, made on Sunday in Laos where he was attending an environment summit, were carried on the China Radio International Web site (www.cnr.cn). "A healthy, sustainable capital market is ultimately beneficial for economic development," Wen was quoted as saying.

Wen said the government's responsibilities toward the stock market were to maintain stable and relatively rapid development of the economy. He also said Beijing would aim to protect investors' and shareholders' interests by establishing an open, just and transparent market environment.

Shanghai's benchmark stock index .SSEC has tumbled more than 30 percent since mid-January, amid concerns about global economic turmoil and a large supply of new shares hitting the market. But the index jumped nearly 5 percent on Friday on rumours that the government would support the market. (Writing by Edmund Klamann; editing by Ken Wills)