(Yicai Global) May 8 -- China's mainland stock markets' inclusion in the MSCI Emerging Market Index, pegged for June 1, could bring USD40 billion into the country, according to an executive at JPMorgan & Chase Co.
The mainland's addition to the index will provide a big boost in terms of international investment, JPMorgan's Managing Director and Vice Chairman of Asia Pacific Jing Ulrich said in the buildup to the New York-based bank's China summit, which began in Beijing today and ends tomorrow.
"Investors from around the world are moving to add investment here in preparation for opportunities to emerge in the future," state-owned news agency Xinhua quoted her as saying.
JPMorgan believes the inclusion of the mainland stock markets will bring USD6.6 billion in passive inflows into the MSCI China Index, while active inflows will be five times greater.
As sustainable, high-quality growth becomes the main aim for China's economy, policy makers are looking to relax restrictions in the financial market and make it a more appealing environment for overseas investors, Ulrich said.
Editor: James Boynton