Updated: Jun 16, 2020
Bursa Malaysia Bhd has entered into a memorandum of understanding (MoU) with Shenzhen Stock Exchange (SZSE) to broaden opportunities in investment, as well as to facilitate further cross-border collaboration between the two exchanges.
In a statement, Bursa Malaysia said both exchanges will be collaborating in several areas including the display of mutual benchmark indices in the respective markets, and joint promotion of the indices and their constituents to enhance the visibility and profile of both the Malaysian and Chinese markets.
Besides that, the MoU also includes a plan for joint market promotion, information sharing, developments in people and technology, and other forms of cooperation in business development.
Bursa Malaysia chairman Datuk Shireen Ann Zaharah Muhiudeen said China remains an important market in the region and that the MoU marks a significant milestone for the Malaysian bourse.
“Our team here in Bursa Malaysia have worked very hard to make this collaboration happen, and this is a positive development for us that will further develop the internationalisation of our marketplace.
“It serves to formalise the intent of both exchanges to enhance the accessibility of investors for both markets. We look forward to working together with SZSE to bring even further value for our domestic and global investors,” she said.
SZSE chairman Wang Jianjun said both exchanges have had an in-depth discussion on promoting the Chinese and Malaysian capital markets as a platform for fundraising, bridging the capital flow and nurturing innovative ideas.
“Our discussion is aligned with the Government of the People’s Republic of China’s Framework for Development in the Guangdong-Hong Kong-Macau Greater Bay Area. Bursa Malaysia and SZSE have been very committed to making progress in this collaboration,” Wang said.
Bursa Malaysia and SZSE will be hosting a joint virtual seminar titled “China-Malaysia Electronic Industry Cooperation” at the end of the month, highlighting the significance of the electronics industries in both markets.
The seminar will feature a panel of speakers including industry experts on cross-border collaborations and investment opportunities.
Looking ahead, Shireen said she is keen to see more public-listed companies adopt new business platforms to promote their businesses globally.
“They can achieve business growth, even under the most challenging circumstances. I believe market troughs will lead to market peaks; we must keep looking forward and prepare for the recovery of our economy.
“Therefore, one of the first steps we will look into is the virtual panel discussion on Supply Chain for the Belt and Road Initiative with Malaysian companies,” she said.
Source: The Edge Markets