China may loosen forex controls for individuals

he State Administration of Foreign Exchange (SAFE) is researching further reform on individual foreign exchange management amidst expectations of further loosening of individual foreign exchange under capital account regulations, said Deng Xianhong, deputy administrator of the SAFE.

The research includes individual direct investment and securities investments. When China will open individual overseas direct investment is still uncertain, said Deng. That mainly depends on the results of the research and consideration of whether effective supervision can be achieved, according to the China Securities News.

Individual foreign exchange purchases increased 259.42 percent year-on-year during the period from February to June this year.

Currently there are many investment options for domestic residents' foreign exchange, including investment in B-shares, foreign exchange financial products issued by commercial banks and various products from the qualified domestic institutional investors.