SSE to explore more ways to serve BRI-related enterprises

Updated: March 21, 2022 Source: Belt and Road Portal
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Photo taken on June 13, 2019 shows an outside view of the Shanghai Stock Exchange in Shanghai, east China. (Xinhua/Fang Zhe)

Shanghai Stock Exchange (SSE), one of the main bourses in China, will explore more ways to further support development of Belt and Road Initiative (BRI) related enterprises, reported China Securities Journal citing the exchange on Monday.

SSE said these on a recently held meeting to facilitate the Belt and Road construction, on which attendees highlighted that constructing a diversified financing system for the BRI mattered much not only to the Belt and Road construction, but also to driving forward the financial reforms and opening up of China.

Bond market serves as an infrastructure in the diversified financing system for the BRI and various policies centered upon building the Belt and Road actively fostered the development and reforms of China's financial market.

However, financing difficulty remained a common problem faced by enterprises participating in the BRI-related construction. To realize sound development of enterprises in BRI related countries and regions, the role of capital market is indispensable.

Recent years, a series of guiding documents and multiple preferential tax policies have been released to encourage enterprises to go global and serve the BRI-related construction.

In March 2018, SSE launched the "Belt and Road" bond pilot program to boost financing to companies in BRI related countries and regions and guide more capital to flow into related infrastructure construction.

As the SSE document shows, the "Belt and Road" bonds include government bonds issued by the government agencies of "Belt and Road" related countries or regions on the SSE, corporate bonds issued by enterprises and financial institutions from "Belt and Road" countries or regions on the SSE and corporate bonds issued by domestic and foreign enterprises on the SSE to raise funds for construction of "Belt and Road" projects.

SSE held the meeting to summarize the past advanced practices and experience of supporting the BRI related construction via the "Belt and Road" bonds, pool suggestions and opinions from related enterprises and survey the problems faced by enterprises in taking part in the BRI related construction.

On the SSE meeting, many participating enterprises expressed their willingness to issue "Belt and Road" bonds.

Editor: Yang Yifan