What Happened: The China Securities Regulatory Commission announced that it has received tentative approval to allow foreign investors to trade in Class A stock listed in Shanghai and Shenzhen, South China Morning Post reported July 9.
Why It Matters: China already permits a small number of foreigners to buy Class A stock, but it is now looking to greatly increase the access foreigners have to the Chinese market.
Background: China has been working to support private sector growth through liberalization programs, including taking steps to increase access to foreign capital by opening up the country's stock market to international investors.
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