Hong Kong, Mainland sign CEPA supplementary agreement

Will further boost bilateral trade cooperation.

Hong Kong and Mainland China last week signed the tenth supplementary agreement for the Closer Economic Partnership Arrangement or CEPA, including 73 measures serving trade opening for the convenience of trade investment.

Qualified Hong Kong financial institutions can hold stakes higher than 50% in fund management JVs formed in Mainland China in line with local laws and regulations.

CEPA will allow qualified Hong Kong financial institutions to set-up one full license broker each in Shanghai, Guangdong and Shenzhen in which they can hold stake up to 51%. Hong Kong brokers are permitted hold stake higher than 50% in securities investment and consultancy JVs formed in Mainland.