The Luxembourg Stock Exchange has admitted the Industrial and Commercial Bank of China’s (ICBC) Luxembourg branch as a trading member, the first Chinese bank to be so admitted.
As a result, ICBC aims to provide liquidity for renminbi-denominated fixed income securities, as well as facilitate trading volume for US dollar and euro-denominated trading bonds issued by the Chinese government and Chinese companies.
“This initiative will contribute to bridging the gap between Chinese issuers and international investors,” said Robert Scharfe, chief executive of the Luxembourg Stock Exchange.
ICBC set up its Luxembourg branch back in 1999. Since then it has aimed to provide local and Chinese clients with corporate banking services and financial market trading business in Luxembourg and further afield.
The Chinese bank has been offering “in-depth knowledge of the Chinese economy and monetary policy on the one hand and a detailed view of the European investment landscape on the other,” said Chen Fei, general manager of ICBC’s Luxembourg Branch.
“This step is an important milestone in our ambition to bring a series of Chinese bond products to the broader European investment community,” he added.
©2019 funds europe