KBC wins US$150 mln QFII in China

The State Administration of Foreign Exchange (SAFE), China's foreign exchange watchdog, has granted US$150 million quota under the qualified foreign institutional investor (QFII) scheme to the assent management arm of Belgium-based financial group KBC Groep to tap into China's capital market, sources said on Monday.

KBC won the QFII license from China Securities Regulatory Commission (CSRC) in June, but it needs a foreign exchange quota from SAFE for investing in China's equities, such as A-shares, T-bonds and central bank bills.

In December last year, overall QFII quota in China has been raised from US$10 billion to US$30 billion. This year, another five institutions have received the QFII licenses, namely Columbia University, South Korea's Prudential Asset Management, Reboco Institutional Asset Management BV of the Netherlands, State Street Global Advisors Asia Ltd and Australia's Platinum Investment.