Your feedback is important to us!
We invite all our readers to share with us their views and comments about this article.
Disclaimer: Comments submitted by third parties on this site are the sole responsibility of the individual(s) whose content is submitted. The Daily Star accepts no responsibility for the content of comment(s), including, without limitation, any error, omission or inaccuracy therein. Please note that your email address will NOT appear on the site.
Alert: If you are facing problems with posting comments, please note that you must verify your email with Disqus prior to posting a comment. follow this link to make sure your account meets the requirements. (http://bit.ly/vDisqus)
China will raise foreign ownership limits in financial firms in a step granting access to a tantalizing multitrillion-dollar financial services market, as the world's second-biggest economy seeks to position itself as a major global finance hub.China has been sluggish to give foreign players more access to its financial sector, but has promised to quicken the pace as foreign investment into Asia's economic powerhouse slows.Foreign financial firms are still small players in the financial sector, and the sheer size of the market is a big lure for overseas players.Foreign banks account for just 1.4 percent of the total 181.7 trillion yuan ($27.37 trillion) of banking assets in China, according to a 2017 study by KPMG. China will drop foreign ownership restrictions on local banks and asset management companies, Zhu said.Full foreign ownership of local firms involved in the futures, securities and funds markets will not be permitted until after three years, while full overseas ownership of insurance firms will be allowed only after five years.For most foreign investment banks, including the likes of Goldman Sachs, the prospect of playing in a huge market seemed too good to pass up.
FOLLOW THIS ARTICLE