Qatar has applied for a license under China’s Qualified Foreign Institutional Investor (QFII) to invest $5 billion in the country – five times the current cap, Xinhua news agency reports.

The move comes days after China, in search of capital, discussed relaxing rules for foreign investors by, among other things, raising the limit on how much they can hold in a listed Chinese company from 20 percent to 30 percent.

BBC reports:

Mohammed Bin Saleh Al-Sada, Qatar’s minister of energy and industry, said that Qatar was keen on investing a part of its earnings from the LNG supply back into the Chinese markets.

He said that Qatar was confident about China’s long term economic growth prospects and that the country’s major listed companies had good investment value.

Thoughts?

Credit: Photo by Pictrues