The central bank has allowed two cities to launch the qualified domestic individual investor, or QDII2, program and is waiting for final approval from the State Council, said an official from the Guangzhou branch of the People's Bank of China, the Shanghai Securities Journal reported on Tuesday.

The program will be first launched in Guangzhou and Shenzhen, in Guangdong province, according to Wang Jingcheng, president of the central bank's Guangzhou branch.

Under the scheme, "qualified" Chinese individual investors will be able to directly inject money into foreign stock markets.

Premier Li Keqiang pledged in May to launch the QDII2 pilot program soon to further open up the country's capital account.

In addition to the two cities, Shanghai, Beijing and Tianjin also applied for the QDII2 pilot program.