THE operator of Hong Kong’s stock exchange said Tuesday it will “work very quickly” on a plan to link bond markets on the mainland with those in the city, giving global investors more access to yuan-related assets.

The concept would be similar to a landmark program which connected the Hong Kong and Shanghai stock markets in 2014, said Charles Li, chief executive of Hong Kong Exchanges and Clearing (HKEx).

The plan would allow global banks to further develop offshore yuan interest rate products, Li said.

“So we probably will work very quickly, trying to build a bond connect in a similar fashion and manner to the stock connect,” Li said.

China said earlier this year it is opening up its interbank bond market to foreigners to provide more avenues for investment. Moody’s rating agency estimates China’s onshore bond market had a total 48.5 trillion yuan (US$7.5 trillion) in outstanding bonds at end-2015, the third largest globally after the United States and Japan.

The Shanghai-Hong Kong stock connect program had promised to open up China’s capital markets to foreign investors, heralding bolder stock market reforms with the ultimate goal of full capital account convertibility. (SD-Agencies)