HONG KONG: Christopher Hui, Secretary for Financial Services and the Treasury in Hong Kong, stated that various measures are currently being taken to enhance liquidity in the Hong Kong stock market.
He added in statement to the media on the sidelines of the Asian Financial Forum, “During the past period, we have implemented the recommendations of the task force aimed at enhancing liquidity in the securities market. Several measures have been implemented, and we will continue to implement some other measures in the future.”
Hui explained that the measures include reducing stamp duty on stock transactions, reviewing the market spread, and reforming the Growth Enterprise Market (GEM). He added, “We will proceed step by step in accordance with the arrangements.”
Responding to a question about the performance of the Hong Kong Stock Exchange, Hui said, “Capital markets are a gauge of the economy as well as the current conditions and future expectations. Therefore, some overall factors, including political geogra
phy and interest rates, will affect the international environment worldwide, including the financial centre in Hong Kong.”
Hui stated, “As a regulatory government agency, our focus is on ensuring the smooth operation of the markets and the absence of any abnormal behaviours or activities. We have seen in the past, amid global uncertainty, that capital markets are operating well.”
Hui mentioned that their country, as an international financial centre, possesses many unique characteristics not found in other financial centres, emphasising, “We are an international financial centre.”
He explained that around 70 banks among the top 100 banks in the world are based in Hong Kong. Additionally, more than half of the world’s largest 20 insurance companies are located in Hong Kong, reflecting the confidence of international financial institutions in the country.
Hui highlighted that the trading volume of exchange-traded funds (ETFs) in Hong Kong has increased by more than 20 percent compared to the average daily t
rading volume before. Derivatives’ volume has also risen by over 5 percent. Therefore, he stated that Hong Kong’s status as a global financial centre remains unchanged, asserting, “Our future prospects will only be towards the better.”
Source: Emirates News Agency