Central securities custody tops MOP110 billion with Hong Kong linkage boost

Macau’s debt securities under custody have surpassed MOP110 billion ($13.7 billion), Acting Monetary Authority of Macao president Simon Vong Sin Man revealed Wednesday during the fourth anniversary celebration of the Macao Central Securities Depository and Clearing Limited (MCSD).

Vong explained that the direct financial linkage between MCSD and Hong Kong’s Central Moneymarkets Unit (CMU), officially launched in early 2025, has enabled smoother flows of funds, securities, and financial products between the markets.

He added that this integration with the Hong Kong Monetary Authority (HKMA) through its subsidiary, CMU, strengthens Macau’s emergence as a bond hub while leveraging Hong Kong’s established financial infrastructure.

He added that the linkage has diversified market participants and eased access for international investors to the Hong Kong–Macau bond markets.

“Market participants have become increasingly diverse,” Vong told attendees at the event.

By year’s end, bilateral linkage transactions were settled at the equivalent of MOP10 billion across more than 140 primary and secondary market transactions, Vong detailed.

In 2025, around 50% of investment subscriptions for debt securities issued by China’s Ministry of Finance and various mainland local governments came through CMU members using the linkage, he noted.

To better connect with global markets, Vong said authorities are advancing a comprehensive upgrade of the central securities depository (CSD) system to align it with international practices, enabling multi-currency fund clearing and settlement, as well as a multi-tiered custody account structure.

MOX honored

by MCSD

At the same event, Chongwa (Macao) Financial Asset Exchange Co., Ltd. (MOX) received the “Outstanding Market Promotion Organization” award. MOX Executive Director and Vice President Wang Wen accepted the honor on behalf of the exchange.

In a statement issued yesterday, MOX credited its efforts in policy innovation, scale expansion, and new products for driving Macau’s bond market growth.

“As Macau’s first financial exchange to provide a full-chain service encompassing bond registration, custody, issuance, listing, trading, and settlement, MOX has facilitated the leapfrog growth of Macau’s bond market through policy breakthroughs, significant scale expansion, and innovative product offerings,” the exchange wrote.

It stated that bonds issued and listed on the exchange have now exceeded MOP1.06 trillion ($132 billion) and expressed hopes of further deepening cooperation with MCSD in the future.