Cross-border yuan direct investment to be loosened
The Ministry of Commerce announced on Monday that it will further loosen control on cross-border yuan direct investment in an effort to facilitate investment. Under the new regulation, approval procedures for yuan-denominated direct investment from overseas investors will be further simplified. The new regulation takes effect on Jan 1, 2014. In cross-border yuan direct investment, foreign investors use legally acquired yuan to make investments in China by founding companies, increasing investment or participating in mergers with and acquisitions of domestic enterprises, the ministry said in a statement.