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OTC Clear To Accept CN Govt Bonds/ Policy Bank Bonds as Collateral for Swap Connect from Jan 2025
HKEX (00388.HK)'s clearing subsidiary, OTC Clearing Hong Kong Limited (OTC Clear), will allow offshore investors to use China Government Bonds and Policy Bank Bonds held throug...
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OTC Clear To Accept CN Govt Bonds/ Policy Bank Bonds as Collateral for Swap Connect from Jan 2025
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HKEX (00388.HK)  -4.000 (-1.328%)    Short selling $218.96M; Ratio 18.627%   's clearing subsidiary, OTC Clearing Hong Kong Limited (OTC Clear), will allow offshore investors to use China Government Bonds and Policy Bank Bonds held through Bond Connect as collateral for Northbound Swap Connect beginning 13 January 2025, according to HKEX's announcement.

The new eligible collateral can be used to cover initial margin requirements of Northbound Swap Connect, providing greater flexibility to international investors and enhancing their capital efficiency.

HKEX expected that it will also help vitalize international investors' bond holdings in the China Interbank Bond Market, promoting the internationalization of the RMB.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2024-12-27 16:25.)

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