Singapore Exchange entered a deal for deeper cooperation with Chongqing Municipal Financial Regulatory Bureau to encourage capital flows and enterprise fundraising, the exchange said in a statement Wednesday.
Under the deal, the two will promote capital flows from Chongqing’s qualified domestic investors into Singapore’s capital markets and help enterprises from central and western China explore fundraising opportunities in Singapore, the statement said.
“In addition to offering Chongqing enterprises access to international capital, SGX is also an ideal springboard into ASEAN as these companies continue to tap growth opportunities beyond China,” Chew Sutat, senior managing director and head of global sales and origination at SGX, said in the statement.
Greater China companies make up around 20 percent of the market capitalization of the Singapore bourse and around 15 percent of bond issuers on SGX are from Greater China, the statement said.
The memorandum of deepening cooperation between the two parties follows a previous agreement in January between SGX and the China-Singapore (Chongqing) Demonstration Initiative on Strategic Connectivity (CCI) Administrative Bureau, which was aimed at improving access to cross-border financial services and business opportunities for enterprises from Western China, the statement said.