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"Further debt-funded investment may mitigate economic stress in the short term," said Amanda Du, an analyst with Moody's Investors Service. "However, the challenges associated with structural rebalancing will become more prominent, and fiscal stress from the coronavirus and the associated economic slowdown will remain high over the long term."

"Funds from this round of financing will be mainly used in the research and development of the community and trading system as well as recruiting talent to further improve user experience on investment and communication at Xueqiu, and to provide them with cross-market and multi-category stock and fund trading services," said Fang Sanwen, founder and CEO of the platform.

"For office space with an area of less than 1,000 square meters, we used to need one managing staff. Now, no more than eight employees are needed to take care of a 20,000-square-meter office," she said.

"Further integration will help professionals and entrepreneurs to commute within the region more easily."

"Firms offering online services, such as gaming, education and e-commerce, are likely to see a strong pickup in their business, given that people are staying at home and spending more time on their phones," she said.