The Hong Kong Monetary Authority (HKMA), the central bank, is entering into a collaborative agreement with the neighboring city of Shenzhen in China.
The Hong Kong Monetary Authority (HKMA), the central bank, is entering into a collaborative agreement with the neighboring city of Shenzhen in China. The deal concerns developments in financial technologies, or FinTech.
Hong Kong has turned its attention towards the world`s largest FinTech market in China, a country that has witnessed huge FinTech adaptation with over 40% of its population or 500 million people using such payment methods.
The collaborative efforts are not surprising since the two cities are located close to each other. Shenzen is one of the largest and wealthiest cities in China, and the one linking Hong Kong to the Mainland.
Hong Kong is reportedly among the world`s leading centers for international finance and trade, while Shenzhen is a leading hub for innovation.
“As one of the three major financial centres on the Mainland, Shenzhen has an innovative and vibrant financial sector and a well-developed high-tech industry. It is a hub not only for many start-ups and research talents, but also many leading global technology companies.”, as He Xiaojun, director-general of the OFDS, said in an interview with cryptocoinnews.com.
Some of the common projects include OFDS participating in the 2017 FinTech summit in Hong Kong. In addition, the will be co-organizing a “major fintech competition” for new fintech companies to introduce new products and concepts.
Last but not least, both cities will help FinTech companies gain presence in each other`s markets.
“Co-operation between the two cities will create mutual benefits and strong synergies, adding new impetus to the Bay Area. It will also signify an important step for the Bay Area to develop into an international fintech centre.”, as Xiaojun explained further.
Recently, an advisory body has urged Hong Kong to recognize digital currencies and invest in blockchain or distributed ledger technology (DLT), as cryptocoinnews.com wrote.
The subject is to be closely followed.