Xu Zhengyu: The growth opportunities between Malaysia and Hong Kong are huge

Zhitong Finance App learned that on July 23, Hong Kong's Secretary for Financial Services and the Treasury, Mr Hui Ching-yu, attended a memorandum of understanding signing ceremony with representatives of Hong Kong's financial and accounting regulators before completing his visit to Kuala Lumpur, Malaysia. Xu Zhengyu believes that the growth opportunities between Malaysia and Hong Kong are huge. As uncertainty in the global landscape intensifies, Hong Kong continues to strive to build a multi-asset product ecosystem. Strengthening connectivity between the Hong Kong and Malaysian markets, including strengthening cooperation between financial regulators, will be a key strategic priority to attract global capital to Asia.

The signing ceremony focused on the Memorandum of Understanding on Cooperation between the Hong Kong Securities Regulatory Commission and the Malaysian Securities Regulatory Commission (SFC), which sets out the framework for mutual recognition of funds and cross-market stock listing.

The Hong Kong Finance Council and the Malaysian Securities Regulatory Commission also signed a memorandum of understanding on cooperation at the ceremony to formally establish a strategic partnership to strengthen cross-border regulatory cooperation between Hong Kong and Malaysia on audit supervision and financial reporting compliance, thereby more effectively protecting investors and enhancing public confidence in audits and financial reporting.

Furthermore, the Bursa Malaysia was issued a certificate at the ceremony to confirm that it has become an accredited stock exchange for Hong Kong Exchanges and Clearing Limited (HKEx), which means that companies that are mainly listed on the main market of Bursa Malaysia can apply for a second listing in Hong Kong.

Xu Zhengyu said, “These cooperative memorandums of understanding mark a substantial step forward in regulatory cooperation with Malaysia, providing investors in the two markets with more options to broaden cross-border investment channels. It also shows our commitment to jointly promote the development of the Asian market through enhanced connectivity, strict regulatory standards and perfect investor protection.”

The last part of the four-day visit was to meet Zheng Manhui, chief financial officer of OneCapital Group. The company is actively exploring a dual listing in Hong Kong to expand its reach with global and mainland Chinese investors. Xu Zhengyu said that the Hong Kong Stock Exchange has simplified the listing requirements for overseas issuers, adopted the same core shareholder protection level for all issuers, and issued more guidelines to assist overseas companies interested in listing in Hong Kong. As Bursa Malaysia has been recognized by the Hong Kong Stock Exchange, Hong Kong is a better platform for Malaysian companies to absorb global and mainland capital and expand the global market.