China could feel pinch from losing Hong Kong as free finance hub

  • 📰 BDliveSA
  • ⏱ Reading Time:
  • 35 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 63%

United States News News

Hong Kong’s currency, equity and debt markets is used to attract foreign funds to the mainland

29 May 2020 - 10:59Police raise the blue flag in warning to gathering protesters during lunchtime street demonstrations in Hong Kong on May 27 2020. Picture: TOMMY WALKER/NURPhoto via GETTY IMAGES

As a gateway between China and the West, Hong Kong attracts global capital for China more efficiently than its other cities.Under the “one country, two systems” formula agreed as part of Britain’s handover of the territory to China, Hong Kong is guaranteed liberties unavailable on the mainland such as freedom of expression and an independent judiciary.

China uses Hong Kong’s currency, equity and debt markets to attract foreign funds, while international companies use Hong Kong as a launch pad to expand into the mainland. Chinese businesses tapped Hong Kong’s debt market for 25% of their $131.8bn in offshore US dollar funding last year, Refinitiv data shows.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in US

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

MARKET WRAP: JSE drops as US-China tension weighs on risk sentimentUnrest in Hong Kong has raised concern that a new Chinese law could worsen relations between the US and China ❤❤❤❤❤❤❤❤❤❤
Source: BDliveSA - 🏆 12. / 63 Read more »