China says will stick to "going out" policy amid capital outflow concerns

PanARMENIAN.Net - China said on Monday, November 28 it will stick to its opening up policy and "going out" strategy on investment even while a slide in the yuan to 8-1/2-year lows revives worries about capital fleeing the country, Reuters reports.

Officials from the National Development and Reform Commission, the Ministry of Commerce, the People's Bank of China and the State Administration of Foreign Exchange said the country will continue to encourage healthy development of outbound investment, the official Xinhua news agency reported.

The Wall Street Journal reported on Friday that China plans to tighten controls on companies looking to invest abroad in an effort to slow surging outflows.

While Beijing has been busily damming up official channels for money to leave China, more funds than ever are leaking out through shady means as investors flee the country's slowing economy and weakening currency, financial industry executives say.

The yuan has fallen more than 6 percent versus the dollar this year, but has been relatively stable against a basket of currencies.