SHANGHAI, Jan 13 (Reuters) - China’s foreign exchange regulator announced measures on Monday that it said were aimed at providing more forex hedging channels for overseas bond investors.
China will simplify the process for foreign institutional investors to trade foreign exchange derivitaves, the State Administration of Foreign Exchange said in a notice published on its website.
Foreign institutional investors will be allowed to use onshore derivatives to hedge risk exposure in China’s interbank market, the notice said.
The measures are due to take effect on Feb. 1. (Reporting by Andrew Galbraith; Editing by Toby Chopra)