China bonds set to draw billions of dollars after FTSE WGBI approval

SHANGHAI: Index provider FTSE Russell has given its final approval for Chinese sovereign bonds to be included in its flagship bond index from later this year, setting the stage for billions of dollars of inflows into the world's second-largest economy.

But a longer-than-expected inclusion period - of 36 months, rather than one year, as FTSE had previously announced - reflects persistent concerns among some global investors about investing in the world's second-largest bond market.