BEIJING - Shares of 97 small and medium-sized enterprises (SMEs) started trading on China's New Third Board this week, marking further expansion in the over-the-counter market.

The move brings the number of companies listed on the New Third Board to 8,877, and the aggregate market value surpassed 3.4 trillion yuan ($520 billion).

Turnover on the New Third Board reached 3.1 billion yuan last week, a 15.73-percent increase from the previous week.

The New Third Board, or National Equities Exchange and Quotation, serves as a national share transfer system for SMEs to transfer shares and raise funds.

It was initiated in 2006 as an experimental platform to facilitate financing for China's non-listed small and promising high-tech enterprises in Beijing's Zhongguancun Science Park.

The present system was officially established on Jan. 16, 2013 after years of trials in cities including Shanghai, Wuhan and Tianjin.

It complements the existing stock exchange, the SME board and the ChiNext board as it is seen as an easy financing channel with low costs, simple listing procedures, and a short application period for companies not qualified for listing on the major exchanges.