BEIJING/HONG KONG Oct 31 (Reuters) - A fund linked to Singapore's Temasek Holdings became the third foreign state-linked entity to have their China investment quotas raised to $1.5 billion, signalling that interest in the world's second-largest economy remains robust.
Temasek Fullerton Alpha Pte Ltd received an additional $500 million in quotas in October, part of the $1.02 billion in fresh combined quotas that the China's State Administration of Foreign Exchange (SAFE) issued to licensed overseas institutional investors for the month, data showed on Thursday.
That increased the total quotas issued under the Qualified Foreign Institutional Investor (QFII) programme to $48.51 billion by the end of October from $47.49 billion a month earlier. SAFE issued $4 billion in quotas in the third quarter.
The Hong Kong Monetary Authority was the first to reach $1.5 billion in August, while the Norwegian central bank followed in September.
The China Securities Regulatory Commission had granted three QFII licenses in September, to U.S.-based Mayo Clinic, Hong Kong-based GF International Investment Management and Guosen Securities Management.
This brings the licences issued in the third quarter to 11 and to 34 this year. There are now 240 licencees under the program.
October licence application results will be announced in mid-November. Institutional investors need to apply for a licence from the securities regulator to be eligible to seek investment quotas from the foreign exchange regulator.