Freer foreign capital flow vital for integration of A shares into global index

Current quotas for overseas investors need to be raised, experts suggest

Industry experts have warned that integrating China's A-share market into the global investment index system is dependent on the freer flow of larger amounts of foreign capital in and out of the country.

Responding to Friday's announcement that the China Securities Regulatory Commission was in talks with international index compilers to join the global investment system, market watchers said it was vital that current investment quotas for its Qualified Foreign Institutional Investor, or QFII, and Renminbi Foreign Institutional Investor, or RQFII, schemes, be raised.