China and the United Kingdom will extend their three-year-old transborder investment channel with a bridge between southern China’s technology hub Shenzhen and London, reports the South China Morning Post.
The stock exchanges of Shenzhen and London signed an agreement on Tuesday to “advance the establishment” of a Shenzhen-London Connect to enhance “capital market connectivity” between China and the UK, where the two bourses will work together to issue depository receipts, indices and cross-border financing services, according to a statement by the Shenzhen exchange.
“The room for cooperation in the capital markets of China and the United Kingdom is relatively big, with [promising] potential”, said the Shenzhen exchange, home to 2,753 listed companies. The exchange said it would “constantly deepen mutual connectivity with overseas capital markets.”