Policy Address

Build a World-leading Bond Market

94. The Government will further consolidate Hong Kong's position as a bond market hub. Relevant measures include:

  1. Enhance financial infrastructure, including the collaboration between the HKMA's CMU OmniClear and the HKEX to explore centralised management and the cross-collateralisation of assets (such as shares and bonds) by investors on a single platform, with a view to fostering interplay between various mutual-market access mechanisms, establishing connections with markets such as Switzerland and the United Arab Emirates and promoting the use of offshore Chinese Government Bonds as collateral in different clearing houses to further enrich the use cases of RMB assets. The Securities and Futures Commission (SFC) is also studying the feasibility of an innovative electronic bond-trading platform built and operated by market participants. It is also promoting the establishment of a commercial repo market and a central counterparty regime in Hong Kong to improve market liquidity.

  2. Continue discussions with relevant Mainland institutions on introducing offshore treasury bond futures in Hong Kong, expand the variety of interest rate derivatives under Swap Connect, promote the development of over-the-counter derivatives, and explore the launch of the cross-boundary RMB repo business in collaboration with the Mainland in due course.

  3. Step up market outreach efforts by the SFC, the HKMA and the HKEX to encourage more enterprises to issue corporate bonds in Hong Kong, attracting capital from around the globe to participate in our bond market.

  4. The SFC and the HKMA will set out relevant details of these measures in the Fixed Income and Currency Roadmap to be published.