Stock dual counter model set

In view of the upcoming launch of the Hong Kong Dollar (HKD)-Renminbi (RMB) Dual Counter Trading Model on June 19, 2023, the Hong Kong government has republished an article posted by Secretary for Financial Services & the Treasury Christopher Hui in this context. Therein, Mr. Hui emphasizes the significance of the new model which will allow investors to trade securities issued in both HKD and RMB and transact across HKD and RMB counters and notes that while a similar mechanism has existed for securities products in Hong Kong since 2010, the current market environment, with increased liquidity of RMB and a larger RMB liquidity pool, makes this launch an important milestone in the development of offshore RMB business in Hong Kong.
Hui also outlines the three-step strategy to promote the use of RMB in the stock market, including improving the trading mechanism, encouraging listed issuers to set up RMB trading counters, and rolling out the dual counter model. He expresses confidence that this model will create a win-win situation for Hong Kong investors by reducing costs and risks of currency exchange. To conclude, Mr. Hui emphasizes that this is just the beginning and that further efforts will be made to promote offshore RMB business and support the internationalization of the RMB.