Center

China needs HK as global financial hub: HK lawmaker

(Xinhua)
Updated: 2007-01-16 09:09

"As an international financial center, we should take steps to make it easier for overseas issuers to list in Hong Kong. Efforts should also be made to establish a more flexible regulatory and operational infrastructure for local, Mainland and overseas financial intermediaries and investors," he said.

On the development of a renminbi futures and options market, he proposed consolidating Hong Kong's lead in offshore renminbi, and expanding the range of non-deliverable renminbi products.

Li noted that China is one of the world's largest consumers and suppliers of commodities, precious metals and other raw materials.

"There is an increasing need for efficient price discovery within our time zone. As a first step, we propose that an independent consultancy study be commissioned with a view to making concrete proposals for developing a commodities futures market in Hong Kong," he said.

Another chief recommendation was to establish an effective insurance market and asset management sector. These, he said, are essential for efficient risk management, financial intermediation,and wealth preservation within the Mainland.

"We also propose that Hong Kong promote itself as a center for international captive insurance, that we expand the opportunities for Hong Kong residents to become Mainland insurance practitioners, and that we foster the further development of the asset-management industry," he noted.