HK officials arrive in Beijing to discuss increased RMB business

Source: CCTV.com | 01-17-2007 11:04

Hong Kong officials have arrived in Beijing where they've met the Governor of the People's Bank of China, Zhou Xiaochuan. All parties have already signed a supplementary memorandum of cooperation.

This paves the way for China's inland financial institutions to expand existing renminbi businesses in Hong Kong.

One of the main tasks of the two officials -- Financial Secretary Mr Henry Tang, and the Chief Executive of Hong Kong Monetary Authority Mr Joseph Yam -- was to discuss increased renminbi-related business in Hong Kong. The other, was to talk about enhancing financial cooperation between the mainland and Hong Kong.

A supplementary memorandum of cooperation was signed by Governor Zhou and Mr Yam, which expands cooperative arrangements to cover the new renminbi business.

Henry Tang, Financial Secretary HK, said, "We discussed how to administrate the mainlands' financial institutes to issue renminbi bonds in Hong Kong. The arrangements of these bonds in Hong Kong, the sale and trade, and the interest will deal with according to Hong Kong market."

Mr Tang hopes Hong Kong's status can be further improved, as an international trade center and as an example for other mainland financial centers, such as Shanghai, Tianjin and Shenzhen.

Earlier this year, the State Council decided to expand renminbi business in Hong Kong. Mainland financial institutions can now apply to issue renminbi bonds.

Editor:Du Xiaodan