ENG-2009 — Page 119

Financial and Monetary Affairs 71

prompted the G-20 countries and international regulatory bodies to propose a series of measures to better regulate financial institutions and markets. Hong Kong took part in the international discussions on the subject.

Expanding the Sources of Listed Enterprises on the Stock Exchange

Fund-raising Centre

Hong Kong is the premier capital formation centre for the Mainland whose enterprises have raised $2,489.9 billion since January 1993. The Hong Kong Exchanges and Clearing Limited (HKEx) has been stepping up its promotion of Hong Kong as a preferred listing venue as well as establishing closer co-operation with other stock markets.

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In 2009, the HKEx's Listing Committee accepted in principle a number of new jurisdictions for overseas companies seeking listings on the SEHK. At December 2009, 10 jurisdictions Australia, British Virgin Islands, Canada (British Columbia), Canada (Ontario), Cyprus, Germany, Jersey, Luxembourg, Singapore and the United Kingdom had been accepted for this purpose, in addition to four jurisdictions recognised under the Listing Rules of Hong Kong, the mainland of China, Bermuda and the Cayman Islands. At year's end, over 100 overseas companies had been listed on the SEHK. HKEX will continue to admit new jurisdictions of an issuer's incorporation. HKEX members pay regular visits to the Mainland, Vietnam, Thailand, Malaysia, Kazakhstan, Russia, Taiwan and other places to promote Hong Kong as a premier capital formation centre.

Offshore RMB Business Centre

Hong Kong continued in 2009 to strengthen its position as the testing ground for liberalising the Mainland's capital account and regionalising as well internationalising the RMB, and building a market to offer a broad range of RMB products and services.

RMB business in Hong Kong has developed in a steady and orderly manner. At the end of 2009, the outstanding RMB deposits in Hong Kong exceeded RMB 63 billion. Six RMB bond issues were made in 2009, including sovereign bonds worth RMB 6 billion issued by the Central People's Government's Ministry of Finance, bringing to RMB 38 billion the total amount of outstanding RMB bonds issued in Hong Kong.

An RMB trade settlement pilot scheme commenced operation in July 2009. Under it, cross-border trade transactions between certain cities in the Mainland, including Shanghai, Guangzhou, Shenzhen, Zhuhai and Dongguan, and Hong Kong, Macao, and ASEAN countries are eligible for settlement in RMB. Relevant Mainland authorities have published the list of pilot enterprises and arrangements for export

tax rebate.

In 2009, improvements were made to the HKEx's Central Clearing and Settlement System and its ties to the interbank clearing system, to support the listing and trading of RMB-denominated products on the SEHK.