The measures embody plans to loosen up the eligibility standards for exchange-traded fund (ETF) merchandise within the Inventory Join mechanism that hyperlinks the 2 monetary hubs. The watchdog additionally goals to loosen the itemizing guidelines for Chinese language corporations desirous to launch preliminary public choices (IPO) in Hong Kong.
The CSRC stated it could improve its communication and coordination with the related departments to help certified mainland trade leaders wishing to go public in Hong Kong.
Different measures embody permitting certified actual property funding trusts (REITs) from the mainland and Hong Kong entry to the Shanghai-Shenzhen-Hong Kong Inventory Join channel, and together with yuan-denominated inventory buying and selling counters on the Hong Kong inventory facet of the cross-border mechanism.
Earlier within the week, Xia Baolong, Beijing’s high man on Hong Kong affairs, stated the town provided a number of distinctive benefits resembling its rule of legislation, competitiveness and innovation.
He stated new insurance policies would proceed to come back to help the town’s ongoing growth and “maximise the dividends of 1 nation, two system”.
“We warmly welcome the initiatives introduced at present by the China Securities Regulatory Fee that help the continued growth of Hong Kong’s capital markets,” stated Bonnie Chan Yi-ting, the CEO of Hong Kong Exchanges and Clearing (HKEX), the bourse operator.
The measures will deliver extra option to worldwide and mainland buyers, appeal to extra liquidity to the town’s markets and additional improve the competitiveness of Hong Kong, she added.
“We sit up for proceed working carefully with our mainland companions and regulators to organize for the launch of those initiatives,” stated Chan.