BEIJING - A total of 170 small and medium-sized companies (SMEs) started to be traded on the New Third Board from Monday to Friday, marking a further expansion for China's over-the-counter (OTC) market after the board was officially established nearly three years ago.

The number of debuts was 37 percent more than that of the previous week.

The move, bringing the number of companies listed on the New Third Board to 4,651, represents China's efforts to encourage the development of SMEs against the current economic downward pressure.

The market value of the 4,651 companies totalled 2.274 trillion yuan ($352.2 billion).

In the week, turnover in the New Third Board reached 5.15 billion yuan, 25 percent more than the previous week.

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

Most of the firms on the New Third Board are engaged in innovative high-tech sectors, covering high-end manufacturing, information transmission, software, research and development, technological solutions and cultural services.

A majority of SMEs in China are struggling with financing, regardless of whether they are trying direct or indirect ways of raising money, and are encumbered by intrinsic factors such as high risks for start-ups, lack of information and an opaque financial condition.

Prompted by the situation, the New Third Board 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. Companies nationwide are now allowed to file applications.

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 main board, the SME board and the ChiNext board, being seen as an easier financing channel with low costs, simple listing procedures and a short application period for start-up firms unqualified to be listed on major exchanges.