Shanghai, Hong Kong boost financial cooperation at 2025 Lujiazui Forum

Shanghai and Hong Kong signed a new action plan to deepen financial integration at the 2025 Lujiazui Forum on Wednesday, aiming to enhance infrastructure connectivity and expand joint financial services.

At a plenary session during the two-day 2025 Lujiazui Forum which opened in Shanghai on Wednesday morning, a major milestone was reached with the signing of the Action Plan for Collaborative Development of Shanghai and Hong Kong International Financial Centers. The action plan focuses on improving infrastructure connectivity and co-developing a financial products and services system.

Officials emphasized that collaboration between Shanghai and Hong Kong is more than a simple combination of city resources, but it is a strategic alignment of complementary strengths that supports both national policy and global engagement.

"Most of our economy is service-driven, including not just financing, but also risk management and insurance. That's where Hong Kong can play a critical role in helping companies from the mainland, including those in Shanghai, go global more efficiently," said Christopher Hui, Secretary for Financial Services and the Treasury of the Hong Kong Special Administrative Region (HKSAR) government.

Over the past few years, financial ties between Shanghai and Hong Kong have rapidly deepened. Initiatives such as the Stock Connect, Bond Connect, and the newly launched Swap Connect have created seamless channels for trading stocks, bonds, and interest rate products between the two markets. In green finance, the two sides have worked together on product development, service delivery, innovation, and regulation.

"We see Shanghai as a gateway for reform and opening up and Hong Kong as a super-connector to the world. This complementary positioning, combined with regulatory alignment, can benefit not just China and Southeast Asia, but the global market as a whole," said Zhang Weizhong, chairman of the Board of Directors of Shanghai Pudong Development Bank.

"Shanghai obviously offers a very deep liquid large market. Hong Kong offers a very open market infrastructure. I think these two markets are complementary and for us it's going to be not a choice between the two, but it's going to be investing in both these markets," said Gokul Laroia, CEO of Asia for Morgan Stanley.

With the theme of "Financial opening up and cooperation for high-quality development in a changing global economy," the 2025 Lujiazui Forum gathered more than 70 policymakers, regulators, and financial leaders from over 10 countries and regions.

Shanghai, Hong Kong boost financial cooperation at 2025 Lujiazui Forum

The Japanese society should do soul-searching regarding its history of aggression and adhere to the pacifist constitution, said Shiradori Hiroshi, a professor of the Hosei University, in an interview with China Central Television (CCTV) in Tokyo on April 30.

He said the government's recent move to discuss revising the three security documents deserve particular attention as the country's foreign and security policies have already witnessed major changes.

"People outside of the country hold that Japan's post-war image as a 'peace state' is now facing a major shift. Against the backdrop of tremendous changes in its foreign and security policies, the revision of the three security documents deserves particular attention. There lacks public debate in terms of the procedure, with policy changes decided unilaterally at Cabinet meetings. It is necessary to fully explain to the public as to whether such a practice is proper," said Hiroshi.

The Japanese government held its first expert panel meeting to discuss revisions to the three security documents at the Prime Minister's Office on April 27, local media reported.

Japan's current National Security Strategy and two related documents, formulated in 2022, were designed to cover the next 10 years, but the government led by Prime Minister Sanae Takaichi has decided to move up the timetable to accelerate the revision process.

Increasing defense spending is one of the key topics of the meeting, according to Kyodo News.

Hiroshi said this year marks the 80th anniversary of the opening of the International Military Tribunal for the Far East, or Tokyo Trials, and the Japanese society must do soul-searching regarding its history of aggression in WWII, when it brought enormous catastrophes on Asian countries.

"Eighty years have passed since the opening of the Tokyo Trials. Japan inflicted enormous suffering on Asian countries during WWII, which should serve as an opportunity for the soul-searching. It is exact on the basis of countless sacrifices that Japan's post-war pacifism and its identity as a 'peace state' took shape. On this 80th anniversary, it is necessary for Japan to re-examine and do soul-searching regarding its history," said Hiroshi.

The Japanese government's effort to revise the pacifist constitution is widely opposed by the public.

On Sunday, around 50,000 people gathered at Tokyo Rinkai Disaster Prevention Park, chanting slogans and holding banners against the government's push for constitutional revision and military expansion, the largest turnout of its kind in recent years.

Japan should adhere to pacifist constitution: scholar