Translation. Region: Russian Federal
Source: People’s Republic of China in Russian –
Source: People’s Republic of China – State Council News
BEIJING, July 1 (Xinhua) — China’s State Administration of Foreign Exchange (SAFE) recently allocated investment quotas totaling $3.08 billion to qualified domestic institutional investors (QDIIs) to meet demand for overseas asset allocation, according to a statement released Monday.
The allocation of new quotas is aimed at further supporting the QDII institution in carrying out cross-border investment activities in accordance with laws and regulations. Based on the principle of effective risk prevention, such a step is aimed at satisfying the reasonable needs of domestic residents for foreign investment, the GUVK said in a statement.
The QDII program is a key institutional mechanism for opening up China’s financial market. It allows eligible domestic financial institutions to transfer both RMB and foreign currency overseas within set quotas to make investments in overseas financial markets.
“Under the current stable and positive conditions in the foreign exchange market, the provision of quotas at an appropriate time can orderly meet the legitimate investment needs of market participants and promote the healthy development of the QDII system,” the department said in a statement.
As follows from the same document, in the process of allocating quotas, such factors as the scale of asset management, as well as internal control and compliance with the requirements of QDII institutions are comprehensively taken into account. -0-