China will open more channels for foreign institutions to invest in its stock markets, a move aimed at supporting share prices and helping to counter capital outflows as the economy slows.
The Chinese securities regulator announced late on Friday that renminbi held offshore could be used to buy equities within China, a long-awaited reform that is critical to promoting more international use of the Chinese currency.
Local media also reported that the government was preparing to expand significantly the number of quotas that allow foreign institutions to invest in China’s closely guarded markets.
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