A public consultation has been launched to invite public views on enhancing listing regulations.

Secretary for Financial Services & the Treasury Frederick Ma said Hong Kong must continue to upgrade its market quality by improving the listing regime to enhance its status and competitiveness as an international financial centre and the premier capital formation centre for the Mainland.

"In considering possible measures to bring the current regulatory regime in line with international standards, we will also take into account market development needs and local circumstances," Mr Ma said.

Public views are sought on proposals to give statutory backing to certain fundamental listing requirements.  Views are also invited on ways to improve rules governing the performance of listing functions. 

Public views are sought on:

* which fundamental listing requirements should be given statutory backing;

* how statutory backing should best be achieved through a balanced mix of instruments in the primary legislation, subsidiary legislation and non-statutory codes and guidelines; and

* the range of sanctions, in particular civil sanctions, that should be introduced for breaches of statutory listing requirements.

Four regulatory models outlined for discussion

Based on the public views expressed so far, the consultation paper outlines the following four alternative regulatory models for public discussion:

*transferring listing functions to the Securities & Futures Commission;

*transferring listing functions to a new HK Exchanges & Clearing subsidiary;

*transferring listing functions to a new statutory independent authority; and

*expanding the current "dual filing" system. 

"We hope the consultation paper will help promote understanding of and deliberations on the major issues involved in the regulation of listing matters, with a view to arriving at a set of specific measures which are suitable for Hong Kong's circumstances and in line with international standards," Mr Ma said.