U.S. private equity firms and a Chinese growth investor have received approval to launch a program allowing foreign private equity firms to launch onshore yuan funds using foreign capital, AltAssets reports, citing Reuters. Blackstone, Carlyle and China’s DT Capital are the first successful applicants for the Shanghai government’s Qualified Foreign Limited Partners (QFLP) scheme.

Shanghai is also considering extending the scheme beyond major buy-out houses to other foreign investors, such as venture capital. The QFLP scheme allows investors to bypass the need to get permission from China’s FX regulator on every deal, although the investors will still require the assent of the ministry of commerce.

Click here for the story from AltAssets.