The country's A-share market is expected to raise more than 1 trillion yuan this year despite government measures to withdraw liquidity out of the market.

The A-share market, or yuan-denominated stocks market, attracted 438.4 billion yuan (67.76 billion U.S. dollars) in the first five months this year, up about 56 percent from 280.54 billion yuan in the same period last year, according to WIND Information Co., Ltd, a Shanghai-based financial data provider.

China's A-share market raised a total of 1.03 trillion yuan in 2010, up 123 percent from 2009, according to China Securities Regulatory Commission (CSRC).

Besides money already raised, more listed companies are queueing to raise about 521.6 billion yuan this year, indicating the yearly volume will hit about 1 trillion yuan, according to WIND Info.

Capital supply is strained though with the unprecedented fund-raising size and the tightening monetary policies.

The central bank has raised interests rates twice this year and hiked the bank reserve requirement ratio five times.

It is widely expected that China will not stop tightening until inflation is firmly under control.

The Consumer Price Index (CPI), a major gauge of inflation, is expected to hit 5.3 to 5.5 percent in May and the central bank will hike interest rates again in June, Guotai Junan Securities analyst Li Xunlei said.