(Yicai Global) Sept. 5 -- Hong Kong's Mandatory Provident Fund Authority (MPFA) has refused calls to relax restrictions on Mandatory Provident Fund (MPF) investments in A-shares, the Hong Kong Economic Journal reported on Sept. 5.

MPF is a compulsory pension fund for the retirement of residents in the special administrative region, with employees and their employers required to contribute monthly.

Shanghai and Shenzhen stock exchanges do not fully meet the requirements at this stage, said an MPFA spokesman. He declined to comment specifically on the criteria for the evaluations, but did say that the flexibility of capital flow is important.

A-shares will be included in the MSCI Emerging Markets Index next year, boosting their market recognition substantially. Major figures from the fund industry, including Li Xiaojia, CEO of the Hong Kong Stock Exchange, have recently expressed their views on the relaxation of MPF investment in A-shares.