Hong Kong Exchanges and Clearing Limited (HKEX) said Tuesday that it has signed a Memorandum of Understanding (MOU) with CMU OmniClear to strengthen Hong Kong’s post-trade securities infrastructure and support the development of its fixed-income and currencies (FIC) market.
HKEX Signs MOU with CMU OmniClear to Enhance the Post-Trade Securities Infrastructure
The agreement will see HKEX and CMU OmniClear explore initiatives aimed at improving efficiencies across equities and fixed-income markets.
They will also look at expanding the use of Mainland bonds as collateral, and advancing Hong Kong’s role as a bond issuance centre.
The collaboration is also expected to contribute to the transformation of CMU into an international central securities depository (ICSD) in Asia.
Bonnie Y Chan, CEO of HKEX, said the partnership reflects HKEX’s “strategic commitment to build a vibrant, world-leading FIC ecosystem in Hong Kong.”
She added, “We look forward to working closely with the HKMA and CMU OmniClear to advance the development of Hong Kong’s fixed-income market, enabling the next chapter of RMB internationalisation and enhancing Hong Kong’s status as an international financial centre, a global risk management centre, and an offshore Renminbi (RMB) business hub.”
Eddie Yue, Chief Executive of the Hong Kong Monetary Authority (HKMA) and Chairperson of CMU OmniClear, described the MOU as a “pivotal step” in strengthening Hong Kong’s financial market infrastructure.
With CMU, Hong Kong’s fixed-income central securities depository (CSD) operated by CMU OmniClear, managing $4.8 trillion in assets under custody, the collaboration aims to improve bond settlement, collateral management, and risk management products.
