Members suggest to seek more ways to use forex reserve

Source: CCTV.com | 03-04-2007 13:31

The Fifth Session of the Tenth National Committee of the Chinese People's Political Consultative Conference, or CPPCC, opened yesterday in Beijing.

Members at the CPPCC annual session are suggesting that the country finds more ways to use its massive foreign exchange reserves. China's forex reserve is expected to continue growing after it quintupled in the past five years.

Contrary to its past policies, the country is expected to implement stricter regulation on incoming foreign exchanges,and lifting controls on outgoing reserves. The CPPCC members said the country is seeking more channels to ease the pressure generated by rising foreign reserves, allowing businesses to keep a larger share of their foreign income.

The country is also encouraging domestic companies to invest their foreign money overseas, under the scheme of qualified domestic institutional investors, or QDII.

Editor:Liu Fang