Hong Kong to roll-out measures to strengthen stock and bond markets

They seek to encourage more secondary listings by overseas enterprises.

Hong Kong has outlined plans to strengthen its stock market and bond market, including encouraging more secondary listings in the city.

Amongst plans include optimising the regime for listing on the Main Board of the stock exchange and for issuing structured products, Chief Executive John Lee said in his 2025 Policy Address on 17 September.

Lee also said that they will encourage overseas enterprises to seek secondary listings in Hong Kong and pursue the inclusion of a renminbi (RMB) trading counter under the Southbound trading portal for Hong Kong stocks.

They will also consider enhancements to the listing requirements for companies with weighted voting right structures; and explore shortening the stock settlement cycle to T+1, Lee said, based on reports by the government news site news.gov.hk.

These measures are part of the government’s effort to cement Hong Kong’s status as an international financial center.

Bond market hub
Separately, to consolidate the city’s position as a bond market hub, the Hong Kong Monetary Authority (HKMA)’s CMU OmniClear will collaborate with the Hong Kong Exchanges & Clearing (HKEX) to explore centralised management and cross-collateralisation of assets by investors on a single platform.

Lee also floated plans for Hong Kong to establish connections with markets in Switzerland and the United Arab Emirates (UAE), and promote the use of offshore Chinese government bonds as collateral in clearing houses.

Hong Kong will also continue discussions with mainland Chinese institutions on introducing offshore treasury bond futures in Hong Kong, he added.

The Securities & Futures Commission (SFC) is currently studying the feasibility of an innovative electronic bond-trading platform built and operated by market participants, according to Lee.

The SFC, HKMA and HKEX are expected to step up market outreach efforts to encourage enterprises to issue corporate bonds in Hong Kong.

Lower infrastructure requirements 
Lee also said that the government plans to lower capital requirements for infrastructure investment, and provide concessions for local projects.

The corresponding legislation is expected to be amended in 2026.

This move is expected to promote the development of exclusive captive and reinsurance business, and encourage the market to introduce more insurance products such as those related to cross-boundary elderly care, cross-boundary driving and low-altitude economy, Lee said.