China starts lifting restrictions on foreign investment - Vanguard News

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China starts lifting restrictions on foreign investment vanguardnews

China has started lifting major restrictions on foreign investment in its financial sector, a move long demanded by the United States as the world’s two biggest economies are locked in a fierce trade battle.

In the past, foreign banks were required to have a local Chinese partner and not allowed to hold more than 49 per cent of their respective joint ventures. The world’s top two economies have been waging a merciless trade war since March 2018, resulting in mutual tariffs being slapped on hundreds of billions of dollars’ worth of annual trade.Beijing has long promised to further open up its economy to foreign investment, but it was slow to do so in the financial sector.

 

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