CSRC to open up custody market

China's top securities regulator is planning to open the fund custody business to overseas banks, in a bid to improve market-oriented competition and promote investment supervision.

"The rules to regulate domestic fund custody banks will be the same as those for qualified foreign banks," said an official from the Fund Management Department of the China Securities Regulatory Commission on Wednesday.

A draft of the new changes will be released soon. This will be the first time that fund custody banks from overseas will be able to enter the mainland's capital market.