Hong Kong financial secretary Paul Chan Mo-po said authorities are expected to roll out measures next month to strengthen the city's role as an offshore yuan hub and increase the number of listed firms trading stocks in renminbi.
Chan noted that Hong Kong’s offshore yuan liquidity pool is the world’s largest with deposits of about 1 trillion yuan, or US$145 billion, but there is room to expand it.
He cited the Hong Kong dollar-yuan dual-counter model, which allows investors to trade shares of a city-listed company in either local dollars or renminbi. The government is working on expanding it, subject to discussions with mainland authorities.
Chan also defended Hong Kong’s status as an international financial centre, saying reliance on mainland Chinese IPOs is a strength rather than a weakness because the city serves as a gateway for such overseas expansion.