HKEX: Foreign Investors Show Enthusiasm for Recent Stimulus Measures in China
On Wednesday, HKEX revealed its intention to establish an office in Riyadh, Saudi Arabia's capital, slated to open in 2025. This move aims to enhance its footprint in the Middle East. The chairman emphasized the region's strategic significance, discussing HKEX's ongoing initiatives to broaden its investor base and strengthen international relationships.
TroibNews 
China's recent market stimulus measures reaffirm its dedication to economic growth and market stability, generating enthusiasm among foreign investors, according to Carlson Tong, chairman of Hong Kong Exchanges and Clearing.
In an interview with CN during the 8th Future Investment Initiative conference in Riyadh, Saudi Arabia's capital, Tong discussed HKEX's role in connecting China with global markets.
**Expanding Partnerships in the Middle East**
On Wednesday, HKEX unveiled plans to establish an office in Riyadh by 2025, aiming to enhance its footprint in the Middle East. Tong emphasized the region's strategic significance, detailing HKEX's initiatives to broaden its investor base and strengthen international relationships.
"The Middle East, obviously, is a very important region with growing economic power and influence.
"We want to support our clients in the Middle East.
"I think Hong Kong is in that position to do [it] that way as an international financial center. We can connect the Middle East with China, which is the second largest economy in the world," he stated.
Gulf nations are actively pursuing economic diversification and foreign investment, particularly in sectors beyond oil. For example, Saudi Arabia's Vision 2030 initiative aims to enhance economic growth, drive technological innovation, and promote sustainability.
Tong also expressed enthusiasm about working with Middle Eastern partners to capitalize on emerging opportunities.
"We can work with the Middle East and in Riyadh and share our knowledge, and we are also into innovation technology," Tong mentioned.
**Positive Market Outlook Following Stimulus Measures**
In September, the People's Bank of China initiated a series of stimulus measures, including cuts to reserve requirements and key interest rates, which have instilled confidence in the market.
Tong conveyed that foreign investors have reacted positively. "I met officials, certain financial officials in London. They were very, very interested in the measures that China is rolling out, and they asked me a lot of questions," he recounted.
The share of foreign capital in China's domestic stock and bond markets is approximately three to four percent, according to the State Administration of Foreign Exchange. Tong noted that this figure is relatively low given China's economic stature and encouraged investors to seize these opportunities.
Reflecting on Hong Kong's strategic advantage as part of China, Tong reiterated HKEX's dedication to promoting the city as a global financial hub and expanding its product offerings.
"We spread beyond stocks. We went to bonds, ETF and also into interest rate swap.
"All these are really, really good policies and measures to assist Hong Kong to continue to strengthen our connection between China and the rest of the world," he concluded.
Sophie Wagner for TROIB News
In an interview with CN during the 8th Future Investment Initiative conference in Riyadh, Saudi Arabia's capital, Tong discussed HKEX's role in connecting China with global markets.
**Expanding Partnerships in the Middle East**
On Wednesday, HKEX unveiled plans to establish an office in Riyadh by 2025, aiming to enhance its footprint in the Middle East. Tong emphasized the region's strategic significance, detailing HKEX's initiatives to broaden its investor base and strengthen international relationships.
"The Middle East, obviously, is a very important region with growing economic power and influence.
"We want to support our clients in the Middle East.
"I think Hong Kong is in that position to do [it] that way as an international financial center. We can connect the Middle East with China, which is the second largest economy in the world," he stated.
Gulf nations are actively pursuing economic diversification and foreign investment, particularly in sectors beyond oil. For example, Saudi Arabia's Vision 2030 initiative aims to enhance economic growth, drive technological innovation, and promote sustainability.
Tong also expressed enthusiasm about working with Middle Eastern partners to capitalize on emerging opportunities.
"We can work with the Middle East and in Riyadh and share our knowledge, and we are also into innovation technology," Tong mentioned.
**Positive Market Outlook Following Stimulus Measures**
In September, the People's Bank of China initiated a series of stimulus measures, including cuts to reserve requirements and key interest rates, which have instilled confidence in the market.
Tong conveyed that foreign investors have reacted positively. "I met officials, certain financial officials in London. They were very, very interested in the measures that China is rolling out, and they asked me a lot of questions," he recounted.
The share of foreign capital in China's domestic stock and bond markets is approximately three to four percent, according to the State Administration of Foreign Exchange. Tong noted that this figure is relatively low given China's economic stature and encouraged investors to seize these opportunities.
Reflecting on Hong Kong's strategic advantage as part of China, Tong reiterated HKEX's dedication to promoting the city as a global financial hub and expanding its product offerings.
"We spread beyond stocks. We went to bonds, ETF and also into interest rate swap.
"All these are really, really good policies and measures to assist Hong Kong to continue to strengthen our connection between China and the rest of the world," he concluded.
Sophie Wagner for TROIB News
