BEIJING, July 15 (Greenpost) – Chinese central bank – the People’s Bank of China (PBOC) released late Tuesday a circular permitting qualified foreign institutions to trade, after filing, interest rate swap and other products on the domestic interbank market.
The decision was made to further boost foreign institutional investors’ investment in domestic interbank market.
Upon publication of the circular, such foreign institutions as foreign central banks, international financial organizations, and sovereign wealth funds are approved to file for recording to the PBOC before trading cash bonds, bond repos, bond lending, bond forwards, interest rate swap, forward rate agreements and others PBOC allows.
What’s more, foreign institutions are free to decide their investment size, according to the PBOC circular. Enditem
Editor Xuefei Chen Axelsson