China Aoyuan Property Group Limited, a firm from Western China, listed two bonds, totalling $ million on the Singapore Exchange this year. China’s first cross-border REIT containing outlet malls in the Western Region was launched on the Singapore Exchange this year, with a $ million IPO listing. Raising capital in Singapore has allowed Chinese companies to diversify their investor base, taking advantage of Singapore’s $ trillion pool of assets under management. And as the largest REIT market in Asia ex-Japan, Singapore can help connect Chinese assets with a diversified pool of investors, including high net worth individuals from ASEAN and global sovereign wealth funds. New Connectivity for New Growth: Western China and ASEAN The CCI has made great strides in strengthening the collaboration between Chongqing and Singapore. Now is the time for CCI to take flight, and soar in reach of broader connectivity between Western China and ASEAN. Let me cite four areas where we can do this. First, building robust channels for SME financing. ASEAN and the Western Region can work together to develop more innovative SME financing solutions. Our financial institutions from both sides have started to collaborate in this area. One of Singapore’s banks, OCBC, has partnered Chongqing Rural Commercial Bank to provide loans for SMEs in Chongqing. Lu International, a subisidiary of Lufax under the PingAn Group in China, and other Singapore institutional investors will be collaborating with Chongqing Financial Assets Exchange to help micro finance companies issue debt overseas. Second, diversifying funding channels for outbound Chinese corporates.
3/5  BIS central bankers' speeches  Singapore can support the financing needs of Chinese companies expanding into Southeast Asia and beyond. Take for example, the New Hope Group, an agricultural and food processing company based in Western China. It has been raising funds in Singapore for its overseas expansion. Or companies such as Chongqing Western Modern Logistics Industry Zone Development Construction and Chongqing Grain Group. They have issued close to $ billion of bonds from Singapore. Bond issuance by Chinese issuers in Singapore almost doubled in 2017 to reach $ billion. More than 25% of this amount was issued by first-time Chinese issuers in Singapore. Singapore’ Asian Bond Grant Scheme will help such first-time issuers by offsetting a part of their typical issuance costs. Haier Group, a leading Chinese consumer electronics player, benefitted from this scheme when it issued a $ billion perpetual debt security in Singapore. Third, enhancing risk management for Chinese firms. Chongqing and Singapore can explore joint projects to mitigate the economic impact of natural catastrophe risks in the Western Region. One example is through piloting a natural catastrophe insurance pool. Similar initiatives are underway in Southeast Asia – and we could share experiences. In May this year, ASEAN+3 Finance Ministers agreed to establish the Southeast Asia Disaster Risk Insurance Facility (“SEADRIF”), which provides disaster risk financing, and a regional catastrophe risk insurance pool for participating ASEAN member states.