2 Min Read
HONG KONG, July 2 (Reuters) - The People's Bank of China and Hong Kong Monetary Authority said on Sunday trial operation of "Northbound" trading of Bond Connect will start on Monday, confirming information shown on the programme website on Friday.
As previously announced by regulators, trading through the programme will start "Northbound", meaning foreign investors will be able to buy and sell Chinese bonds.
The PBOC and HKMA said in the joint statement that they have agreed on the principles of cross-boundary supervisory cooperation under Bond Connect.
"For Northbound trading, the relevant regulations, policies and operational and supervisory arrangements have been finalised, technical systems are ready, and market promotion as well as on-boarding are both under way," the statement added.
The announcement, timed to coincide with the 20th anniversary of Hong Kong's handover to Chinese rule, marks the latest step in the opening up of China's capital markets. It follows the introduction of similar programmes allowing two-way trading between stock markets in Hong Kong and Shanghai and Shenzhen. (Reporting by Donny Kwok; Editing by Nick Macfie)