Chinese Central Bank said to be drafting fresh package of reforms for more financial market opening
Details may include permission for foreign institutions to control their local finance-sector joint ventures, as well as raising the current 25pc ceiling on foreign ownership in Chinese banks
China’s central bank is drafting a package of reforms which would give foreign investors greater access to the nation’s financial services industry, according to sources familiar with the matter.
The People’s Bank of China will convene an internal meeting on Tuesday to discuss its proposals and get feedback from Chinese institutions, said the people, who asked not to be names.
The meeting will also discuss the timetable for opening up the financial sector and the lessons learned from previous cooperation with foreign firms, they added.
While the details of the plan have yet to be finalised, it may include permission for foreign institutions to control their local finance-sector joint ventures, as well as raising the current 25 per cent ceiling on foreign ownership in Chinese banks.
It may also allow foreign firms to provide yuan-denominated bank card clearing services. The China Banking Regulatory Commission is also said to be involved in the proposal.
The PBOC couldn’t immediately comment on the matter. The CBRC didn’t immediately respond to a fax seeking comment.
