Latest News:  
Beijing   Heavy rain/Thundershower    27 / 23 ℃  City Forecast

English>>China Business

China relaxes QFII rules to attract overseas investment

(Xinhua)

13:07, July 28, 2012

BEIJING, July 28 (Xinhua) -- China has eased its grip on its control on investments made by qualified foreign institutional investors (QFIIs), according to a revised QFII regulation released by the nation's securities regulator.

Compared with previous rules, the regulation published by the China Securities Regulatory Commission (CSRC) on Friday lowers the QFII threshold and allows QFIIs to invest in the nation's capital market through more than one securities dealer.

The regulation also allows QFIIs to invest in the interbank bond market and private placement bonds issued by small and medium-sized enterprises and hold up to a 30-percent stake in a listed company, up from the previous 20-percent stake cap.

The move aims to make it easier for QFIIs to invest in China's capital market, part of the nation's efforts to free up capital flows and accelerate the opening of domestic capital markets.

The CSRC said it received 28 submissions after opening draft rules to solicit public opinion from June 20 to July 5, and the commission has made adjustments accordingly.

The CSRC said it will continue to speed up the approval of QFIIs, facilitate the operation of the QFII scheme with related authorities and strengthen supervision to attract more long-term overseas investments.

The CSRC has quickened QFII approvals lately, granting 5.62 billion U.S. dollars in quotas to 51 QFIIs since December 2011.

The State Council, China's Cabinet, in April increased total QFII quotas to 80 billion U.S. dollars from the previous 30 billion U.S. dollars.

The CSRC has granted QFII licenses to 172 foreign investors since the program started in 2002.

Foreign investment under the QFII program accounts for 1.1 percent of the total market value of the country's A-shares.

Email|Print|Comments(Editor:陈丽丹、梁军)

Leave your comment0 comments

  1. Name

  

Selections for you


  1. Exhibition marking PLA 85th anniversary

  2. City view of Pyongyang, DPRK

  3. China's shipping industry in recession

  4. Three "poisons" that destroy men's health

  5. Great Wildebeest Migration sets off

  6. Cool! Boldest adventurers around world

Most Popular

Opinions

  1. S. China Sea issue, where is Philippines’ restraint?
  2. On right track for growth model change
  3. Added value key to countering protectionism
  4. What to expect at London Olympics: Star athletes
  5. What to expect at London Olympics: Beauties
  6. US seeks to create new waves in S.China Sea
  7. Labor test for policymakers
  8. What to expect at London Olympics: Opponents
  9. What to expect at London Olympics: Strong teams
  10. China's bond of commitment

What's happening in China

New round of torrential rain hits Beijing

  1. Apple's revenue falls sharply in Greater China
  2. China to criminalize speeding, vehicle overloading
  3. Officials urge preservation of migrant school
  4. Chinese tune in to homegrown 'The Voice'
  5. Professor quits, credentials turn out to be faked

China Features

  1. Excessive bacteria found in Bright Dairy products
  2. Tainted infant formula milk powder found in Hunan
  3. Unimaginable potentials of human organs – Eyes
  4. Netizens blast Youku over child porn videos
  5. Let languages grow freely

PD Online Data

  1. Spring Festival
  2. Chinese ethnic odyssey
  3. Yangge in Shaanxi
  4. Gaoqiao in Northern China
  5. The drum dance in Ansai