To strongly support capable domestic institutions to make diverse forms of outbound investments, the State Administration of Foreign Exchange (SAFE) has conducted a pilot program of QDLPs/QDIEs in Shanghai and Shenzhen since 2013. Given the outcomes of the pilot program and the demand of market participants for cross-border asset allocation, the SAFE has pressed ahead with the pilot program, and increased the piloting quota to USD 5 billion for the two cities recently.

Next, the SAFE will work with relevant departments and local governments to further improve the macro-prudential management of QDLPs/QDIEs based on the experience from the pilot program, the situations of the balance of payments, industry trends and outbound investments to better serve the new landscape of comprehensive opening.