Moscow Interbank Currency Exchange And Shanghai Stock Exchange Signed Memorandum Of Understenting

The Shanghai Stock Exchange (SSE) and the Moscow Interbank Currency Exchange (MICEX) have signed a memorandum of understanding.

The Memorandum is seen as a way to intensify cooperation between the two exchanges, aimed at developing the sphere of financial services and improving the organized securities markets of China and Russia.

Both parties expressed their intention to promote cooperation in the following main areas:

• organizing regular meetings between the top managers of the two exchanges with the aim of getting better understanding of financial markets of China and Russia;
• building contacts with the view of sharing experience in developing exchange markets;
• implementing joint research projects or holding seminars on the issues which are of mutual interest.

According to the MICEX CEO Alexander Potemkin, mutually beneficial cooperation between the two leading exchanges of Russia and China has a history of more than ten years. When the currency market was created in Russia in the early 1990s, the MICEX specialists established contacts with their Chinese colleagues. A number of innovations, which they initiated during the first years of the MICEX work, were implemented taking into account the experience of the Shanghai Exchange.

At present, the MICEX is preparing for Russian companies’ mass entering of the open market with their IPOs. The MICEX is studying the experience of foreign countries, hoping to make use of the SSE’s unique knowledge of organizing the primary placement of shares of state-run enterprises in the stock market in the course of their privatization.

The MICEX CEO emphasized that the signing of the Memorandum demonstrates the strengthening of relations between the two exchanges and reflects the growing importance of the whole spectrum of business relations between China and Russia.