DESPITE COVID-19 flare-ups and increasing downward pressures on the economy, multiple global financial institutions have increased their presence or plan to do so in the Chinese market, casting a vote of confidence in the prospects of the world’s second-largest economy.

Six asset management companies recently got the green light to join Qualified Foreign Limited Partner (QFLP) or Qualified Domestic Limited Partner (QDLP), both pilot programs offering easier access to China’s fund markets.

After the approval, Hamilton Lane, a leading private market investment firm, will become the first to set up a secondary fund through the QFLP program in Shanghai, and BlackRock, the world’s largest asset manager, will emerge as the first wholly foreign-owned public offering fund involved in the QDLP program.

Hu Ning, managing partner of CDH Investments, a global investment firm also on the list, said the company is optimistic about long-term U.S. dollar fund investment in China and is attracted by Shanghai’s high-level opening-up policies.

Pan Swee-ting, JAFCO Asia’s China head, looks forward to evening more opportunities in China’s transition to high-quality development in the future after miraculous economic growth over the past four decades. The financial company has recently increased its investment quota under the QFLP program.

While COVID-19 variants brought new challenges, Pan believes China can strike a balance between epidemic controls and economic development.

A survey conducted by the China Council for the Promotion of International Trade showed last month that the majority of foreign companies in China still see the country as one of their main strategic markets, despite challenges to their businesses triggered by COVID-19 resurgences. Some 86% of the respondents are satisfied with China’s policies on stabilizing foreign investment.(Xinhua)