Beijing, Nov. 30 (Xinhua) — Liu KaixiongThe State Administration of Foreign Exchange (SAFE) on Thursday launched another round of qualified Domestic institutional investor (QDII) quotas to issue $4.296 billion to 23 institutions.

This round of issuance covers funds, securities, banks, bank financing subsidiaries, trust companies and other major financial institutions, and takes into account the quota demand of new institutions.

Since September 2020, safe has issued three rounds of QDII quotas, totaling $12.716 billion to 71 institutions.After this round of issuance, the SAFE has approved a total of 169 QDII institutions for investment quota of US $116.699 billion.

The SAFE has issued QDII quota continuously, confirming the safe’s previous statement on the normalization of QDII quota issuance.Some market institutions believe that QDII is an important channel for domestic residents to allocate overseas assets, and the cross-border capital flow under QDII is relatively stable in recent years.From the pace and quota issued by the FOREIGN exchange bureau, its impact on the domestic capital market, cross-border fund flows and the RMB exchange rate is expected to be generally controllable.

The relevant person in charge of the safe said that the current international financial market environment objectively puts forward higher requirements for domestic investors’ overseas financial investment management ability and risk management level.“It is recommended that QDII institutions carry out overseas investment business in an orderly manner, make prudent management decisions, promote diversified product and investment layout, constantly optimize overseas asset allocation and effectively control overseas investment risks.”