China Further Loosens Rules for Foreign Investors
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China has eased curbs on investment of Qualified Foreign Institutional Investors (QFII) in an effort to further open capital markets and improve convertibility of the Chinese currency.

Under the new rules, participants in the QFII program will be allowed to invest a base amount which is decided by a formula linked to their assets under management.

Previously, China's Foreign Exchange regulator only granted quota approvals to QFIIs on a case-by-case basis.

Meanwhile, the capital lock-up period for QFII redemptions has been cut to three months, from one year.

The new rules took place from immediate effect on Wednesday.

The Chinese government introduced QFII in 2003, as the main way for foreign institutions to access China's yuan equities.

Author： 　　　Source：CRI　　　 Editor：Yang Fan