Quota For Mainland Stock Trades Raised Fourfold

China's central bank announced on Wednesday a four-fold expansion of the daily quota for stocks trade between the mainland and Hong Kong.

This was revealed by the People Bank of China's (PBOC) governor, Yi Gang at the Boao Forum in Hainan.

He said from next month onwards Hong Kong people can buy up to 52 billion yuan of mainland shares through two stock connect programmes, instead of the current 13 billion.

The south bound capital quota for the stocks market will reach 42 billion yuan instead of 10.5 billion.

Yi also said that there has been good progress on a stock connect programme between the bourses in Shanghai and London, and the target remains to get the scheme going by the end of this year.

He also rejected a media report that the country's leaders are studying to weaken the yuan to offset the impact of a trade spate with the US.

He said Beijing and Washington should deal with their trade issues in a rational manner.

The central banker, who was appointed last month, also renewed previous promises from Beijing to allow domestic and foreign financial firms to compete on an equal footing.

He said foreign investors will be allowed to into trust, financial leasing, auto finance and consumer finance by the end of this year.

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