The Securities and Futures Commission (SFC) is pleased with the launch of Swap Connect, a mutual access program between Hong Kong and Mainland China. It started with Northbound Trading, allowing investors from Hong Kong and other places to participate in the Mainland interbank interest rate swap market. This is the first mutual access program for financial derivatives products that allows global investors holding Mainland bonds to manage renminbi interest rate risks. The SFC’s CEO, Julia Leung, believes that Swap Connect strengthens connectivity between Mainland and overseas capital markets and enhances Hong Kong’s position as a risk management hub. International investors’ Mainland bond holdings have increased by approximately 300% since the launch of the Bond Connect scheme in 2017, amounting to RMB3.2 trillion.