Hong Kong Financial Management (HKMA) announced a memorandum of understanding agreement with HKMA's subsidiary, Hong Kong Interbank Clearing Limited (HKICL) and the PBOC's subsidiary, the Institute of Digital Currency on Nov 6.
The agreement aims to interconnect the existing HKMA's eTradeConnect and the People's Bank's Trade Finance Platform by developing a proof of concept from the first quarter of 2020.
In a press release, HKMA said, "The successful completion of the interconnection will provide a more convenient trade finance service and will allow Hong Kong-based banks to expand their trade finance business."
Recently, according to the China Money Network, China's domestic financial and economic magazine, it has been reported that Chinese local governments and other institutions have pledged to invest $ 5.7 billion in blockchain funds.
Meanwhile, HKMA's Eddie Yue commented on the signing of the MOU, saying, "To further upgrade Hong Kong's fintech development, we need to deepen our HK Inc. approach."