SINGAPORE: Singapore and Shanghai are enhancing partnerships to promote cross-border collaboration in the financial sector.
Institutions from the two cities signed nine agreements on Wednesday (Apr 12) that will facilitate further exchange between both financial centres.
The memorandums of understanding were signed at the 3rd Singapore-Shanghai Financial Forum, organised by the Monetary Authority of Singapore and the Shanghai Municipal Financial Services Office.
The Singapore Exchange and the Shanghai Pudong Development Bank inked an agreement to strengthen capital market ties between both sides.
With it, Chinese enterprises will be encouraged to raise funds through initial public offerings and issuance of offshore renminbi bonds via the Singapore bourse.
Cooperation in other areas such as foreign exchange and derivatives and bond trading will also be explored.
Singapore's Oversea-Chinese Banking Corp (OCBC) inked agreements with Shanghai-based institutions to support collaboration in areas including trade finance, corporate and investment banking and loans and cross-border financing.
The bank’s group chief executive, Samuel Tsien, said: “The ties and connectivity between the two cities will certainly deepen further. It is therefore very important that banks, insurance companies and asset management companies follow the financial market developments in China attentively, and be positioned and prepared for the opportunities that are bound to increase.”
United Overseas Bank signed agreements aimed at boosting cross-border opportunities between Singapore and China in areas such as infrastructure development and financial technology.
In addition, Singapore’s central bank and the Shanghai Municipal Financial Services Office are in talks to develop a customised training programme to promote mutual exchange between financial sector players.
The central bank said the programme can deepen information and knowledge flows between industry participants from both sides.