04/06/2019

Luxembourg Stock Exchange teams up with China Construction Bank


The Luxembourg Stock Exchange has signed a Memorandum of Understanding with China Construction Bank, one of the world’s biggest banks. The official signing ceremony took place at the Luxembourg Stock Exchange on Friday 31 May, in the presence of H.E. Mr Huang Changqing, the Chinese Ambassador to Luxembourg.

“This agreement represents an important and strategic milestone for the Luxembourg Stock Exchange. Given China Construction Bank’s size, position and reputation, this collaboration is an essential step in our ambition to link markets and investors, in China and abroad, and thereby play an active part in the internationalisation of Renminbi,” stated Robert Scharfe, CEO of the Luxembourg Stock Exchange.
 
Focus on Renminbi and innovation

The purpose of the Memorandum of Understanding is to establish a mutually beneficial framework of cooperation and partnership between China Construction Bank and the Luxembourg Stock Exchange.

The partnership will facilitate cooperation between the two institutions when it comes to financial market activities in the context of the internationalisation of Renminbi. More concretely, China Construction Bank and the Luxembourg Stock Exchange will share insights into listing and trading activities and products, with a specific focus on Renminbi-denominated securities. The two parties will cooperate in the listing of bonds, derivatives and investment funds and work together to boost innovation within the field of trading products.
 
“It is a great honour to witness our two institutions write a new chapter of our cooperation. Luxembourg may be a small country in size, but in terms of finance it is playing an important role on the global scene. This cooperation will help investors from both countries find new opportunities,” said Mr Tian Guoli, Chairman of China Construction Bank.
 
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Leading, large-scale, commercial bank

China Construction Bank is headquartered in Beijing, China, and opened its European headquarters in Luxembourg in 2013. In September 2018, the bank listed its first green bond - worth EUR 500 million - at the Luxembourg Stock Exchange. The bond was displayed on the Luxembourg Green Exchange and the proceeds will be used to finance projects linked to clean transportation, renewable energy and pollution prevention.

China Construction Bank was founded in 1954 and now counts close to 15,000 banking outlets in 30 different countries and more than 350,000 employees. It is listed on the Hong Kong Stock Exchange and on the Shanghai Stock Exchange.