China, South Africa seek co-op in capital market
Updated: 2013-08-09 09:18
JOHANNESBURG -- Representatives from the Chinese and South African capital markets are meeting on Thursday to discuss ways of building long-term relationship to encourage investment flows and seek further business opportunities.
"Today, we are here to further strengthen our relationship. I hope that this forum will lead to productive collaboration between the JSE and the SSE (Shanghai Stock Exchanges)," Humphrey Borkum,the Chairman of the Johannesburg of Stock Exchange, said at the launch of the first SA-China Capital Market Forum.
"The Johannesburg Stock Exchange is honored to host an event that will lead to the further strengthening ties between our institutions and our countries," Borkum said.
Last year, the JSE and the SSE signed a Memorandum of Understanding, which emphasized the importance of the relationship between the two exchanges.
According to Borkum, the forum will provide prominent representatives from South African and Chinese financial institutions, governments and regulators with an opportunity to discuss economic activities between South Africa and China, and to share experiences and ideas about the opportunities and challenges related to investing in each country.
"We believe this will be an exciting and informative experience for all who attend," said Borkum. "South Africa and China have much to learn from each other. China has impressed the world with its impressive growth figures."
Although struggling with slow growth in recent years, South Africa has strong markets and financial institutions. In the 2012- 2013 World Economic Forum Global Competitiveness Survey, South Africa ranked first in terms of regulation of its securities exchanges for the third consecutive year, and third in its availability to raise finances through the local equity market.
Deputy SA Reserve Bank governor Daniel Mminele echoed the views of Borkum, saying "By sharing the expertise that exists in both of our countries, South Africans might come closer to achieving higher growth for its economy, and China to improving the governance and functioning of its equity capital markets."
"In the spirit of collaboration of the BRICS alliance, to which both China and South Africa belong, it is fitting for us to support each other's economic progress."