The central bank plans to further enrich the types of products under the "swap through" agreement and extend the term of interest rate swap contracts to 30 years.

On May 15th, the People's Bank of China, the Securities and Futures Commission of Hong Kong, and the Hong Kong Monetary Authority, after fully summarizing the experience of the "Cross-border Interconnection" operation and carefully listening to the opinions and suggestions of domestic and foreign investors, plan to further enrich the types of products under the "Cross-border Interconnection". First, to extend the contract period, extending the term of interest rate swap contracts to 30 years to meet the diverse risk management needs of market institutions; Second, to expand the product spectrum, introducing interest rate swap contracts with the loan market quoted rate (LPR) as the reference rate. The financial market infrastructure institutions in the two places will gradually launch the above optimization measures. To further promote the coordinated development of the mainland and Hong Kong financial derivative markets and advance the high-level opening-up of the financial sector, the People's Bank of China, the Securities and Futures Commission of Hong Kong, and the Hong Kong Monetary Authority, based on a comprehensive review of the experience of the "Cross-border Interconnection" operation and earnestly listening to the opinions and suggestions of domestic and foreign investors, plan to further enrich the types of products under the "Cross-border Interconnection". First, by extending the contract period to 30 years, to meet the diverse risk management needs of market institutions; Second, by expanding the product spectrum, introducing interest rate swap contracts with the Loan Prime Rate (LPR) as the reference rate. The financial market infrastructure institutions in the two places will gradually implement the above optimization measures. Next, the financial regulatory authorities in the mainland and Hong Kong will continue to guide the financial infrastructure institutions in both places, based on the operation of the "Cross-border Interconnection", to continuously improve the relevant mechanisms and arrangements, steadily promote further opening-up of the Chinese financial market, and steadily and prudently advance the internationalization of the RMB to support the prosperity and development of Hong Kong as an international financial center. This article is compiled from the official website of the People's Bank of China, edited by GMTEight: Liu Jiayin.