By applying the updated proposal, the number of China A-shares to be included in the company's emerging market index would be reduced to 169, mainly large-cap firms, from 448 under last year’s proposal.
The weight of Chinese A-shares would be about 0.5 percent compared with the 5 percent previously proposed.
The index provider declined to include A-shares last year, citing obstacles of market access such pre-approval requirements by local exchanges and stocks suspensions.
With Shanghai-Shenzhen Stock Connect launched in December, the investment environment has changed, MSCI said in the document, as the stock link allows investors to access approximately 1,480 Shanghai and Shenzhen stocks through the schemes.
Fang Xinghai, vice chairman of China Securities Regulatory Commission, said at a media briefing in January that China would be happy to see the inclusion of A-shares, but the inclusion itself won’t affect the opening-up pace of A-shares.