Hong Kong and Mainland Regulators Deepen Cross-Border Market Cooperation
On.cc · 1 SOURCESabout 1 hour ago3 MIN
Summary
Hong Kong's Securities and Futures Commission (SFC) and the China Securities Regulatory Commission (CSRC) have jointly unveiled a series of new measures to deepen practical cooperation and coordinated development between the two markets . The initiatives cover multiple areas including listing and financing, index cooperation, futures products, exchange-traded funds (ETFs), internationalization of financial institutions, green finance, and facilitation of professional qualifications . Both regulators pledged to jointly promote high-quality development of the two markets while strengthening regulatory coordination and participation in global financial governance .
Key Points
- The regulators will continue supporting qualified mainland enterprises to list in Hong Kong and qualified Hong Kong-listed companies to list on mainland exchanges, while also backing eligible Hong Kong firms to issue bonds in the mainland .
- Both sides will support index companies to strengthen cooperation and launch more indices based on Chinese assets, enhancing the international influence of Chinese indices and assets .
- The cooperation deepens in futures markets, with support for Hong Kong to introduce more RMB-denominated and settled futures products .
- A fast-track registration mechanism will be implemented for conventional stock ETF products, with support for more ETFs based on both markets that align with China's modern industrial system .
- Qualified securities and fund firms are encouraged to "go global" using Hong Kong as a base to expand international operations and build world-class investment banks and institutions .
- The two sides will promote climate-related transition plan disclosure pilots among listed companies and jointly develop green finance .
- Hong Kong banking professionals in securities and futures may soon apply for mainland qualifications through simplified procedures .
- Regulatory cooperation will be strengthened in issuance and listing supervision, cross-border financing, intermediary oversight, risk monitoring, and information sharing .
Why It Matters
These measures reinforce Hong Kong's role as a super-connector between mainland China and international capital markets, providing local financial institutions with clearer pathways to expand their mainland business. The fast-track ETF mechanism and RMB futures expansion could significantly boost trading volumes and product diversity in Hong Kong, directly benefiting the city's asset management and derivatives sectors.
These measures reinforce Hong Kong's role as a super-connector between mainland China and international capital markets, providing local financial institutions with clearer pathways to expand their mainland business. The fast-track ETF mechanism and RMB futures expansion could significantly boost trading volumes and product diversity in Hong Kong, directly benefiting the city's asset management and derivatives sectors.