China’s NDRC urges firms to use Hong Kong for financing local projects, overseas plans
Hong Kong seen as a top financing platform for the mainland’s ‘attracting foreign investment’ and ‘going global’ strategy, an NDRC official says
China’s top economic planner is encouraging more mainland companies to leverage Hong Kong’s international financial platform for cross-border financing activities to fund projects at home or expansion overseas.
Asia’s leading financial hub – the biggest offshore yuan centre – can help onshore companies broaden their funding channels and optimise their financing structures, according to a top official at the National Development and Reform Commission (NDRC).
“Hong Kong serves not only as the nexus connecting the mainland and international capital markets, but also the premier platform for the mainland’s ‘attracting foreign investment’ and ‘going global’ strategy,” said Zheng Chiping, director general of the Department of Foreign Capital and Overseas Investment.
China lauds Hong Kong’s efforts to help mainland enterprises raise funds through bond sales, with a view to collectively foster a more open, transparent and efficient financing environment, he added.
The NDRC also supports “active participation” by global investors to create “mutual benefits” with local firms, Zheng said.
He spoke at a seminar co-organised with the Hong Kong Monetary Authority (HKMA) on Tuesday. The event was attended by about 200 mainland enterprises, industry associations, financial institutions and law firms.
