Asset managers weigh the impact of China being included in key global debt indices, which they expect to start seeing this year, after the mainland bond market opened further last month.
Two market-opening moves by Beijing last month have further reduced the value of RQFII quotas. This is a particular challenge for the offshore arms of mainland fund houses.
Some key issues need clarifying before foreign money will flow into onshore renminbi bonds, say bankers from Credit Suisse, Goldman Sachs and Natixis.
The People's Bank of China has taken another step towards liberalising its capital markets, in a move it says will help meet demand for mainland fixed income assets.
The PBoC has introduced a registration system for official foreign investors in its interbank bond market and scrapped quotas and approvals. It is seen as an attempt to ease concerns over recent market interventions.