China can increase 10 times the level of RQFII, QFII quotas -CSRC head

HONG KONG Sun Jan 13, 2013 9:31pm EST

HONG KONG Jan 14 (Reuters) - China can increase 10 times the current level of investment quotas for Renminbi Qualified Foreign Institutional Investment (RQFII) and QFII, Guo Shuqing, chairman of the China Securities Regulatory Commission (CSRC), said on Monday at the Asia Financial Forum in Hong Kong.

China awarded nearly $16 billion of quotas to foreign securities investors in 2012, equivalent to the total granted during the previous six years, as Beijing steps up the opening of its capital markets.

Total quotas for QFII, launched in 2003, reached $37.44 billion at the end of last year.

China introduced the RQFII scheme at the end of 2011 with an initial quota of 20 billion yuan and raised that to 70 billion yuan last year, allowing foreign investors to use offshore yuan to buy mainland securities. (Reporting by Clement Tan; writing by Michelle Chen; editing by Anne Marie Roantree)