Introduction
On 26 July 2024, the People’s Bank of China (PBOC) and the State Administration of Foreign Exchange (SAFE) jointly released revised rules in respect of the investments into China’s financial market through the Qualified Foreign Institutional Investor and Renminbi Qualified Foreign Institutional Investor (collectively, QFII) regime (the New Rules). The New Rules will come into effect on 26 August 2024.
For background, the QFII regime allows international institutional investors who meet the qualification requirements to invest in a permitted range of financial products in mainland China’s financial market directly, without having to incorporate a local entity in China. The New Rules streamline the QFII’s investment process, including by simplifying and relaxing the requirements in respect of SAFE registration, account management, currency conversion and…
