China's investment in the South Korean financial market is expected to rise
nearly four-fold over the next two to three years on the back of Chinese
investors' overseas push, a report said Thursday.
Chinese investment
in the South Korean financial market will likely reach US$1.5 billion by 2015,
up from the current $420 million, according to the report by the Korea Center
for International Finance (KCIF).
"A large amount of money is likely
to flow into South Korea from China as Beijing is poised to expand its overseas
investment sharply," the center said.
In March, China's central bank
announced a three-phase plan to open its financial market, including measures to
promote overseas investment by qualified institutional investors.
Once
the measures are implemented as planned, China's qualified institutional
investors will see their investment cap triple to $229.3 billion, of which 4.6
percent could be poured into South Korea, the KCIF said.
Also luring
Chinese investors to put more money into overseas markets will be such factors
as the easing of international financial uncertainties and weakening
expectations for the yuan's appreciation against the U.S. dollar, the KCIF
said.
China's increased investment in South Korea will likely come as
a boon to local manufacturing and service industries, it added.
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