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The Chief Executive, Mr Tung Chee Hwa, reiterated that the SAR Government is determined to develop our debt market during a meeting with the visiting Finance Minister Xiang Huaicheng this morning (Monday).

Mr Xiang is in Hong Kong to attend the signing ceremony for the listing of bonds issued by the Ministry of Finance of the People's Republic of China.

Mr Tung said, "I welcome the listing in Hong Kong of the bonds issued by the Ministry of Finance as this would help to deepen and broaden our debt market. It also represents a big step forward for our debt market."

"Apart from the Luxemburg Stock Exchange, the Stock Exchange of Hong Kong is the only place of listing for the US dollar bonds issued by the Ministry of Finance, signifying the Ministry's confidence in our debt market. The listing here of the bonds also enhanced Hong Kong's role as China's fund raising centre," he added.

The Chief Executive said that the development of a stable and efficient debt market in Hong Kong would help the steady development of our financial sector as well as the overall stability of the regional financial markets.

He said, "The Government will continue our efforts in developing our financial markets in order to further consolidate Hong Kong's position as an international financial centre."

During their meeting, Mr Tung and Mr Xiang also exchanged views on the global and regional economic development and recent performance of the international financial markets. They also updated each other on the financial policies in the Mainland and the SAR.

End/Monday, January 18, 1999

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Photo caption: The Chief Executive, Mr Tung Chee Hwa, this (Monday) morning met with the visiting Finance Minister, Mr Xiang Huaicheng. The Financial Secretary, Mr Donald Tsang, also attended the meeting.