CIBM a Grand Opening
In February 2016, China’s authorities took the unprecedented step of announcing that a wide range of foreign institutional investors would be given quota-free access to the China Interbank Bond Market (CIBM). This marks a dramatic shift in the process of opening China’s capital markets, making it much easier for international investors to access the world’s third-largest bond market and paving the way for further liberalization of cross-border investment in mainland securities.
Why is this such a significant move? What opportunities does it present for foreign institutions looking to invest in the CIBM?
And what issues need to be resolved before they can do so with confidence?