Fast Clearing Settlement Signs MOU with Cross-border Clearing Company to Expand Market Reach
SingTao · 2 SOURCESabout 1 hour ago7 MIN
Summary
Fast Clearing Settlement Limited, which operates the Central Moneymarkets Unit (CMU) system for the Hong Kong Monetary Authority, has signed a memorandum of understanding with Cross-border Clearing Company, a subsidiary of the People's Bank of China, to deepen cooperation in market expansion and overseas member services . The signing ceremony took place during the 26th China International Investment and Trade Fair in Xiamen, with Chen Da-qiang (陳達強), CEO of Fast Clearing Settlement Holdings and Fast Clearing Settlement, and Wang Hongbo (汪洪波), Chairman of Cross-border Clearing Company, representing their respective parties . The agreement aims to leverage synergies between the two platforms, expand member networks, and enhance the liquidity and attractiveness of RMB investment and financing products . Fast Clearing Settlement has been progressively expanding CMU membership to overseas institutions since March 2025, with total bond custody exceeding HK$5.5 trillion equivalent as of June 2026 .
Key Points
- Fast Clearing Settlement and Cross-border Clearing Company signed an MOU during the 26th China International Investment and Trade Fair in Xiamen on September 8, 2026, represented by Chen Da-qiang (陳達強) and Wang Hongbo (汪洪波) respectively
- The agreement focuses on deepening cooperation in market expansion and network expansion, with the goal of amplifying synergies and growing both parties' member networks
- Since March 2025, CMU membership has been expanded to eligible institutions regulated or supervised outside Hong Kong, facilitating more international participation in the Hong Kong bond market and the mainland market via Bond Connect
- CMU is the first offshore financial infrastructure to become a direct participant in CIPS, providing payment-versus-payment settlement for Bond Connect transactions in both HKD and RMB
- As of June 2026, total bond custody under CMU exceeded HK$5.5 trillion equivalent, reflecting substantial growth in cross-border securities settlement volume
Why It Matters
The partnership between Fast Clearing Settlement and Cross-border Clearing Company reinforces Hong Kong's critical role as the gateway connecting mainland China's capital markets with international investors . By enhancing the compatibility and interoperability of financial infrastructure between Hong Kong and mainland China, the collaboration supports the continued internationalization of the renminbi and strengthens the city's position as the world's largest offshore RMB business centre . For Hong Kong readers, this translates to greater access to RMB-denominated financial products and more efficient cross-border settlement services that underpin the city's status as an international financial hub.
The partnership between Fast Clearing Settlement and Cross-border Clearing Company reinforces Hong Kong's critical role as the gateway connecting mainland China's capital markets with international investors . By enhancing the compatibility and interoperability of financial infrastructure between Hong Kong and mainland China, the collaboration supports the continued internationalization of the renminbi and strengthens the city's position as the world's largest offshore RMB business centre . For Hong Kong readers, this translates to greater access to RMB-denominated financial products and more efficient cross-border settlement services that underpin the city's status as an international financial hub.