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A spokesman for the Financial Services and the Treasury Bureau welcomed today (April 18) the measures by the Central People's Government (CPG) to expand the Renminbi bond market and to facilitate bank borrowing by Hong Kong enterprises operating on the Mainland.
"Allowing Hong Kong banks on the Mainland to issue Renminbi bonds in Hong Kong and consideration by the Ministry of Finance of the CPG to issue Renminbi bonds in Hong Kong will help promote the development of the local bond market and further reinforce Hong Kong's position as an international financial centre. The relevant measures will be welcomed by the financial services sector. They will also provide investors with more choices," the spokesman said.
To facilitate borrowing by Hong Kong enterprises, the CPG will allow these enterprises to use their assets in Hong Kong as collateral in securing loans from Hong Kong banks on the Mainland. "We believe that the implementation of this measure under such difficult business environment will help alleviate the financing problem of Hong Kong enterprises on the Mainland," the spokesman said.
Ends/Saturday, April 18, 2009
Issued at HKT 22:15
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