Chief Executive CY Leung today welcomed the lifting of the cap on exchanging Hong Kong dollars to renminbi for Hong Kong residents, which he believes will help promote the city's status as an offshore renminbi business centre.

Mr Leung said the measure - which takes effect on Monday - could make it easier for Hong Kong residents to participate in the Shanghai-Hong Kong Stock Connect and other renminbi financial transactions.

He also expressed gratitude to the Central Government for its staunch support for Hong Kong's development as an international financial centre, and thanked the Monetary Authority and the banking industry for their efforts in securing the new arrangement.