Hong Kong and Shanghai to enhance financial ties

Here's how enterprise owners can benefit.

According to a report, financial leaders from Hong Kong and Shanghai held the third Working Meeting of Hong Kong-Shanghai Financial Co-operation in Hong Kong today.

At the meeting, Secretary for Financial Services & the Treasury Prof KC Chan and the Shanghai Municipal Government Financial Services Office Director General Dr Fang Xinghai talked about the latest financial developments in Hong Kong and Shanghai.

Prof Chan spoke to Shanghai representatives on fostering offshore Renminbi business, strengthening fund and asset management, promoting international capital formation and helping Mainland enterprises go overseas.

Both sides shared ideas for enhancing co-operation, such as encouraging qualified financial institutions and enterprises in Shanghai to issue Renminbi bonds and H shares in Hong Kong, using Hong Kong as a capital-raising platform, and encouraging the Hong Kong subsidiaries of Shanghai financial institutions to participate in the Qualified Foreign Institutional Investor scheme.

Other methods discussed included helping Shanghai financial institutions to develop comprehensive financial services in Hong Kong and supporting the establishment of financial institutions in the other cities, and exploring ways of enhancing future co-operation between their stock exchanges.

They also discussed the business development of the joint-venture company set up by the exchanges of Hong Kong, Shanghai and Shenzhen, as well as the financial information services subsidiary established by the exchanges in Shanghai.

Both sides also agreed to continue to organise study tours for post-secondary finance students.