China to further expand QFII quota

BEIJING -- China will further expand the investment quota for qualified foreign institutional investors (QFIIs) if the current amount can not meet investors' demand, China's top securities regulator said on Sunday.

The government is also considering offering tax breaks for QFIIs in line with international conventions, said Guo Shuqing, chairman of the China Securities Regulatory Commission (CSRC), at a group interview on the sidelines of the 18th National Congress of the Communist Party of China.

Launched in 2002, the QFII program allows overseas brokerage companies, fund houses and trust firms to invest in Chinese capital markets.

In April this year, China increased the total QFII investment quota to $80 billion from the previous $30 billion.