China would lead the recovery of the global initial public offering (IPO) market, China Daily reported Wednesday citing consultancy firm Ernst & Young (E&Y).

Based on its latest survey of institutional investors, E&Y said China was the first IPO market to recover from the global recession. Over 75 percent of the respondents said they expected the market to recover in the third and fourth quarters this year.

China-based IPOs accounted for 65 percent of the funds raised globally during the third quarter this year. The trend was expected to be strong in China next year also, the survey said.

"The potential for continuing growth and higher safety in the market are the reasons for the funds flowing into the Chinese IPO market," the newspaper cited Ringo Choi, regional managing partner, China South at Ernst & Young, as saying.

(Xinhua News Agency November 11, 2009)