Hong Kong to allow duty on transfer of stocks to be paid in yuan

The Hong Kong government is preparing to allow the stamp duty payable on the transfer of stocks at yuan counters to be paid in yuan, amid the government’s efforts to promote the currency’s internationalization, said Financial Secretary Paul Chan Mo-po.

Authorities plan to put forward the related legislative proposal next year, he added.

The Hong Kong Monetary Authority will launch a new trade financing liquidity facility of 100 billion yuan (HK$107.22 million) — offering banks stable, relatively low-cost funds to meet their corporate customers’ yuan financing needs, Chan said.

In addition, he said the current size of the currency swap agreement between the HKMA and the People's Bank of China is 800 billion yuan.

CICI CAO