China's securities regulator said it will allow individual foreign investors working in the country to buy and sell yuan-dominated Chinese A-shares, the latest incremental step by Beijing to widen access to its long-cloistered equities markets, reports AFP from Shanghai.
The change would go into effect on September 15 and also applies to foreign employees of Chinese-listed companies who are working for those firms outside the country, the China Securities Regulatory Commission (CSRC) said in a statement issued late Wednesday.
Previously, foreign access to Chinese stocks has been largely through B-shares, which are denominated in foreign currencies and geared toward international investors, while only qualified foreign institutional investors could buy into the larger pool of A-shares.
But a number of steps in recent years have widened the door, including the establishment of programmes under which international investors on Hong Kong's more open stock market can buy some shares on China's exchanges in Shanghai and Shenzhen, and vice-versa.
A similar connection between London's exchange and the mainland Chinese bourses also has been proposed.