Hong Kong's Financial Secretary Paul Chan Mopo said in a press conference at the Asian Financial Forum (AFF) that the measures aim to “strengthen Hong Kong's links with the mainland market.” “This measure will strengthen Hong Kong's position as a bridge between China and the world, and as an international financial center.”
The policy and incentives are in line with promises made by National Financial Regulatory Authority (NFRA) Minister Li Yunze in his keynote speech to the AFF earlier today.
He said banks based in Hong Kong and Macau would be allowed a broader scope of operations on the mainland, including issuing bank cards. Mr Lee said financial companies in the two special administrative regions will enjoy lower eligibility standards to invest in mainland insurance companies.
“Hong Kong has a liquid financial market, a large talent pool, [sound] “It’s a legal environment,” he said. “The central government supports Hong Kong's development as a bridge between the mainland and the world.”
He said Chinese banks and insurance companies would be encouraged to issue renminbi-denominated bonds and other financial instruments related to green finance in Hong Kong.
“These issuances will further support Hong Kong's bond market and role as an offshore RMB trading center,” he said.
The proposal appears to have resonated with Egypt's Finance Minister Mohamed Maait, who said the country is exploring opportunities to issue green bonds and other sustainable financial products in multiple currencies.
Financial Services and Treasury Secretary Christopher Hui said there is a good chance that Egypt, which will host the 2022 United Nations Climate Change Conference (COP27), will consider issuing dim sum bonds, which are renminbi-denominated bonds issued in Hong Kong. He said that there is. Hui hosted a panel discussion with financial officials from Thailand, Indonesia, Egypt and Croatia, and proposed the city as a potential source of funding.
Will the Greater Bay Area consolidate Hong Kong's role as a fintech hub?
Will the Greater Bay Area consolidate Hong Kong's role as a fintech hub?
The 17th AFF, whose theme was “Multilateral Cooperation for a Shared Tomorrow,” attracted more than 3,000 participants over two days.
“Hong Kong will be at the center of the continued eastward shift in the economic outlook,” CEO John Lee Katju said in his welcome speech at the start of the event. “We are both a ‘super connector’ and a ‘super value adder’, connecting East and West for long-term valuable opportunities on this 21st century path of promise.”
Mr Li, a veteran banker who was named NFRA's first managing minister last year, said China would continue to open up its economy and financial system to global investors. The new agency is an expanded version of the China Banking and Insurance Regulatory Commission, China's banking and insurance company regulator.
He said China's various cross-border investment channels, the so-called Connect Plan, will continue to be strengthened and expanded to allow more funds to flow into mainland bonds, stocks and derivatives from abroad via Hong Kong. Stated. Similarly, mainland capital will be allowed to flow into international affairs via Hong Kong.
“The open door policy is a long-term national policy for China and is the driving force behind the country's financial market,” Li said. “We will support more foreign companies to invest in China and provide them with a favorable business environment with investor protection. The doors of the financial sector will continue to widen.”
