BUSINESS China to scrap foreign investment quotas to further open up financial sector

BUSINESS

China to scrap foreign investment quotas to further open up financial sector

Xinhua

08:38, May 08, 2020

A bank staff member counts RMB and US dollar notes in Nantong, Jiangsu province, on Aug 28, 2019. (Photo: Sipa)

BEIJING - China decided to scrap quota restrictions on two major inbound investment schemes in a bid to further facilitate foreign institutional investors' participation in the country's financial market, authorities said Thursday.

China will remove quotas on the dollar-denominated qualified foreign institutional investor (QFII) scheme and its yuan-denominated sibling, RQFII, according to the provisions issued by the People's Bank of China and the State Administration of Foreign Exchanges, which will take effect on June 6.

QFII will be allowed to freely choose in which currency and when they remit money to the country.

China will also simplify outward remittance procedures for QFII's securities investment gains and lift other restrictions.

In recent years, China has been trying to gradually open up its financial sector to attract more foreign capital.

Related Stories

Terms of Service & Privacy Policy

We have updated our privacy policy to comply with the latest laws and regulations. The updated policy explains the mechanism of how we collect and treat your personal data. You can learn more about the rights you have by reading our terms of service. Please read them carefully. By clicking AGREE, you indicate that you have read and agreed to our privacy policies

Agree and continue