China will push for the normalization of initial public offerings (IPOs) and refinancing activities, while considering possible pressure on the market, said Deng Ge, spokesperson for the China Securities Regulatory Commission.

An IPO suspension between July and November 2015 was followed by a period of slower IPO approval. Under the current IPO system, new shares are subject to approval from the China Securities Regulatory Commission, which controls both the timing and price.

China is working on an IPO approval system based on registration that will allow bourses to take over IPO approval and clear the backlog.

The regulator also said it will limit IPOs by steel and coal companies as the government is seeking to slim down the two bloated sectors.

Money raised through refinancing by listed firms cannot be used to pay back bank loans, the regulator stressed.

It also vowed to continue to crack down on any illegal activities, pledging strong measures against capital tycoons that violate regulations and laws.

Last year, 227 companies went public, raising total funds of 150.4 billion yuan ($21.86 billion).