The Singapore Exchange (SGX) on Thursday signed an agreement with the China Financial Futures Exchange (CFFEX) to collaborate on the development of the two countries' derivatives markets.
Few details of the Memorandum of Understanding were released although a broadly worded statement from SGX said potential areas of cooperation included product and market development, and information sharing.
SGX CEO Magnus Böcker said the move reflected "the diverse needs of our global customers" and reinforced the exchange's commitment to the Chinese market.
CFFEX deputy CEO Rong Zhiping pointed to international cooperation as a prerequisite for China establishing a world-class exchange.
The agreement – SGX's third in the region – comes as part of a regional expansion plan focused on its derivatives market. It follows similar agreements with the Korea Exchange and Philippines Stock Exchange (PSE). Under the Korean agreement, the two markets will develop clearing for OTC derivatives as part of swaps market reforms.
In separate news, SGX said neither market volumes nor changes to the system had caused a delay in the opening of its derivatives market on Tuesday. It attributed the delay to a malfunctioning monitoring process that had delayed the completion of routine maintenance.