(Yicai Global) June 5 -- China's central bank has extended a key yuan-denominated inbound investment scheme to include the Netherlands, with an annual quota of CNY50 billion (USD7.24 billion).
Started in December 2011, the Renminbi Qualified Foreign Institutional Investor, or RQFII, channel has been a main way for foreigners to invest in China's equity and bond markets within set quotas.
The program provides a backflow channel for the growing pools of overseas yuan funds. Opening up the country's markets in this way speeds up the internationalization of China's currency, the yuan, also know as the renminbi.
Editor: Ben Armour