Hong Kong is increasingly the location of choice for a corporate treasury centre (CTC), according to a panel of experts at The Asset’s 3rd Asia Treasury and Trade Summit being held at the Four Seasons Hotel, Hong Kong.

“We’re fortunate to see the expansion of corporate treasury operations from over 400 corporates that we’ve been engaging,” says Enoch Fung, head of market development at the Hong Kong Monetary Authority. He explains that mainland Chinese corporates are using Hong Kong as a springboard to venture into international markets.

Policies around risk management and transparency are appreciated by Chinese corporates setting up treasury operations in the city. Hong Kong’s clear legal system based on common law as well as the friendly taxation system are attractive. Additionally, according to Sohfern Boey, managing director and head of global transaction services at DBS Bank, “The talent in Hong Kong is at a high level and knowledge of Putonghua is important”.

The development of China’s One Belt, One Road initiative has also helped the city to promote itself as a strategic location. “Having a location in Hong Kong helps corporates build their presence and business along the One Belt, One Road countries,” says Enoch Fung, at the HKMA.