China optimizes qualified foreign institutional investor scheme

(ECNS) — China's securities regulator announced on Monday that it has released a new work plan to optimize the Qualified Foreign Institutional Investor (QFII) scheme, one of the country's earliest programs for opening up its capital market.

According to the China Securities Regulatory Commission (CSRC), the Work Plan for Optimizing the Qualified Foreign Institutional Investor Scheme aims to further enhance the system's efficiency and enhance its appeal to global investors.

A CSRC official said that since its launch, the QFII scheme has operated smoothly and has provided an important channel for overseas investors to allocate assets in China. It has also played a significant role in expanding the opening-up of the country's capital market.

The Work Plan upholds a coordinated approach that balances financial opening-up with security, adhering to market-oriented, law-based and internationalized principles. It focuses on streamlining market access and facilitating investment operations. Over the next two years, the CSRC seeks to advance key reform measures to refine the QFII mechanism, strengthen its appeal to long-term overseas capital, and foster a new pattern of high-level opening-up characterized by coordination between onshore and offshore channels, balanced development of allocative and trading capital, and positive interaction among domestic and overseas securities, fund, and futures institutions.

The official added that the CSRC will work to implement these opening-up and streamlining measures as soon as possible, while continuing to deepen research on the QFII system to further enhance the overall framework for China's capital market opening-up framework.

(By Evelyn)