China to expand capital account opening, says FX official

China capital account: China aims to streamline capital movement and deregulate financial markets to attract foreign investors amid geopolitical tensions, according to a senior foreign exchange regulator. 

Xu Zhibin, deputy head of the State Administration of Foreign Exchange (SAFE), announced plans to facilitate two-way capital market opening and enhance connectivity between domestic and international financial markets. 

The initiative also includes broadening investment options to entice more investors into China's financial markets. 

Additionally, Xu pledged support for high-quality Chinese companies seeking overseas listings and encouraged sovereign wealth funds and institutional investors to engage in offshore investments in an orderly fashion. 

The move comes as global investors have grown cautious about China's economic trajectory, policy decisions, and strained relations with the United States, leading to a decline in overseas listings by Chinese firms.

(With Reuters Inputs)