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Hot money waiting to enter Chinese mainland from HK

By Qiang Xiaoji (chinadaily.com.cn)
Updated: 2010-11-26 17:14

A huge amount of international speculative capital, or "hot money", is waiting to enter the Chinese mainland from Hong Kong, Shanghai Securities News reported Friday.

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Wen Tianna with the Hong Kong Security Association said that unofficial statistics showed that a total of HK$650 billion worth of hot money is awaiting opportunities to enter the Chinese mainland market.

Wen said hot money inflows have been increasing since August, at a speed of a nearly eight-year high.

Zhao Jiancheng, managing director of Swiss Fund Services (HK) Limited, said China's fast economic growth, as well as factors such as interest rate increases and yuan appreciation, will keep attracting money.

Zhao said speculative money is trying to enter the Chinese mainland through various channels despite the changing environment in Asia.