Banks receive QFII approval

Hang Seng Bank and Daiwa Securities were approved for qualified foreign institutional investor (QFII) status by the China Securities Regulatory Commission (CSRC). QFII status allows financial institutions to invest in China's A-share market and selected bonds. The two banks bring the total number of firms approved for QFII investment to 15. CSRC officials said that QFII status had not been conferred on any foreign firms aside from Merrill Lynch during the first four months of 2004 out of concerns such a move would increase yuan revaluation pressures.