Bursa Malaysia Signs MOU With Shanghai Stock Exchange
Bursa Malaysia Berhad (Bursa Malaysia) and Shanghai Stock Exchange (SSE) has signed a Memorandum of Understanding (MOU) to pursue a continuing relationship for the mutual benefit of the financial services industry in Malaysia and the People’s Republic of China.
Under the terms of the MOU, SSE and Bursa Malaysia have established an agreement to facilitate the development of communication channels for the sharing of information between both exchanges.
The MOU states that further cooperation will cover aspects such as structuring of listed products, development of debt securities products and debt trading facilities, corporate governance, exchange or secondment of staff and research projects.
Dato’ Tajuddin Atan, Bursa Malaysia Chief Executive Officer said, ‘We view this opportunity as an open door that has been cordially extended to us to work closely with SSE. We can learn from SSE by sharing valuable information, exchanging ideas and experiences. In the past few years, the number of investment funds in China has grown substantially and many of these funds are jointly managed by international firms. They are one of the major drivers of the securities markets.”
“We believe this cooperation will be the precursor to greater things as the areas of cooperation can be expanded as long as both parties agree that the move will bring manifold benefits to both exchanges and markets,” said Dato’ Tajuddin.
Some of the recent and positive developments in Shanghai include the declaration by the China State Council to develop Shanghai into an international financial centre by 2020. This could not have come at a more opportune time for Bursa Malaysia to formalise the working relationship with SSE. SSE is committed to enhancing cooperation and communication with Bursa Malaysia for potential opportunities through mutually rewarding areas of partnerships.