'Next big thing' for global investors is China's bond market, says IIF

Tokyo

CHINA'S bond market appears set to become the "next big thing" among global investors as the country's banking sector comes under increasing strain and as Chinese policymakers seek to switch investor emphasis from crisis-prone equity markets to long-term debt markets, a new report suggests.

"The recent opening of China's bond market to foreign investors is undoubtedly a major milestone in the ongoing capital account liberalisation process," says the report by the Washington-based Institute of International Finance (IIF).