Delegation representing capital markets visits China, signs MoUs

KARACHI: A high-level delegation from Pakistan’s capital markets, led by Akif Saeed, Chairman of the Securities and Exchange Commission of Pakistan (SECP), alongside Dr Shamshad Akhtar, Chairperson of the Pakistan Stock Exchange (PSX), Farrukh H Sabzwari, CEO of PSX, Muneer Kamal, Chairman of the National Clearing Company of Pakistan Limited (NCCPL), and other senior SECP executives, recently visited China.

During the one-week visit, the delegation engaged with key Chinese financial institutions, including the China Securities Regulatory Commission (CSRC), the China Securities Depository and Clearing Corporation (CSDC), the Securities Association of China (SAC), the Asset Management Association of China (AMAC), the China Financial Futures Exchange (CFFEX), the Shanghai Stock Exchange (SSE), the Shenzhen Stock Exchange (SZSE), the Shanghai Futures Exchange (SHFE), and CITIC Securities Co Ltd.

The primary goal of the visit was to deepen collaboration between the Pakistani and Chinese capital markets, explore opportunities for cross-border investment products, and enhance market access and investor participation for both Pakistani and Chinese entities.

PSX is pleased to announce that, during the visit, Farrukh H Sabzwari, CEO of PSX, signed Memorandums of Understanding (MoUs) with the Shanghai Stock Exchange (SSE), Shenzhen Stock Exchange (SZSE) and China Financial Futures Exchange (CFFEX). These MoUs mark a significant milestone in strengthening ties and enhancing cooperation between PSX and these leading Chinese exchanges.

The MoUs aim to foster bilateral collaboration for capacity building, promote mutual growth opportunities, and formalize future interactions for the benefit of Pakistan’s capital market. Notably, the MoUs also facilitate collaboration on launching new financial products such as Exchange Traded Funds (ETFs), promoting the listings of Chinese-Pakistani joint venture companies, and organizing joint conferences and events to engage market participants.

Speaking on the occasion, Chairman SECP, Akif Saeed said, “I extend my sincere congratulations to the PSX and its Chinese counterparts, the SSE, SZSE, CFFEX on signing of these important MOUs. These agreements represent a significant step forward in our efforts to foster closer ties with China. The MoUs will lead to capacity building through strengthened bilateral cooperation and will help develop Pakistan’s capital market in line with international best practices, which will ultimately contribute to the long-term development of Pakistan’s economy.”

Dr Shamshad Akhtar stated, “I congratulate PSX, SSE, SZSE, and CFFEX on the signing of these MoUs, which reflect the strengthened cooperative relations between the exchanges. This collaboration builds upon the foundation laid in 2016 when 40 percent of PSX shares were divested to a Chinese consortium of anchor investors. These MoUs not only symbolize the deepening of bilateral relations but also underscore the growing strength of financial and economic ties between both countries.”

Farrukh H Sabzwari said, “I extend my congratulations to the leadership and teams of PSX and the three Chinese exchanges for signing these momentous MoUs, which will help promote bilateral partnerships and drive the development of Pakistan’s capital market. These agreements will also enable us to take the next step towards the joint launch of cross-border ETFs.”

Copyright Business Recorder, 2024