China to ease restrictions on yuan, investment, trade in Shanghai

FTZBEIJING -- China will experiment with a wide range of reforms, including easing restrictions on yuan, investment, trade and business management in the (Shanghai) Pilot Free Trade Zone, according to a general plan published on the government website on Friday.

"Under the precondition that risk can be controlled, China will create conditions to test yuan convertibility under the capital account, market-set interest rates and cross-border use of the Chinese currency in the zone," said the plan.

Regulations in the zone will also be eased in 18 sectors from finance, shipping, commerce to culture.

Covering almost 29 square kilometers, the zone will be created modeled on existing free trade businesses in the country's economic hub -- Waigaoqiao Free Trade Zone, Waigaoqiao Free Trade Logistics Park, Yangshan Free Trade Port Area and Pudong Airport Comprehensive Free Trade Zone.