China’s State Administration of Foreign Exchange (SAFE) announced Sunday that it plans to raise the limits on securities investment by foreign institutions in China to US$1 billion from US$800 million as of today, AFP reported. Foreign investors are regulated by the Qualified Foreign Institutional Investor (QFII) regime, launched in 2003, which allows foreign firms to invest in renminbi-denominated instruments. The program is intended to improve access for foreign investors while simultaneously limiting their ability to distort capital flows. SAFE also slashed the lockup period on investments made by QFII pension funds, insurance companies and mutual funds. As of 2007, Beijing agreed in talks with the US to raise the net QFII ceiling to US$30 billion from US$10 billion. So far, China has actually approved US$15 billion in QFII investment.