A DELAYED trading link between Hong Kong and Shanghai’s stock exchanges will start Nov. 17, it was announced yesterday.

    The bourse connection — which is expected to allow the equivalent of US$3.8 billion a day in cross-border transactions — had originally been slated for last month, but was unexpectedly delayed as Occupy Central protesters continued to shut down sections of Hong Kong.

    The link-up is seen as a key step towards greater financial liberalization in the world’s second-largest economy.

    “The SFC and the CSRC jointly announced today that the launch of Shanghai-Hong Kong Stock Connect on Nov. 17, 2014 ... has been approved,” said a statement issued by the Hong Kong Stock Exchange (HKEX) early yesterday.

    The SFC is Hong Kong’s Securities and Futures Commission (SFC) and the CSRC is the China Securities Regulatory Commission.

    The “Shanghai-Hong Kong Stock Connect” platform will allow international investors to trade selected stocks on Shanghai’s tightly restricted exchange and let mainland investors buy shares in Hong Kong.

    It is expected to see volumes on both exchanges rise significantly, particularly Shanghai.

    Premier Li Keqiang announced plans for the project in April and it had been expected to launch six months later.

    Plans for a similar tie-up in 2007 sparked a surge in share prices in both bourses, but they were eventually scrapped as the global financial crisis unfolded.

    Meanwhile, mainland shares soared to close at a nearly three-year high yesterday following the announcement of the program.

    (SD-Agencies)