-Illustrates the uniqueness of the Hong Kong banking supervisory and regulatory system;-Demystifies Hong Kong Money Authorities' monetary power in market stabilisation under the Basic Law;-Explains Hong Kong's Clearing system functions for the RMB offshore clearing hub; and-Examines and explains...

This paper argues that the Central Counterparty (CCP) clearing system will be able to provide an effective platform in dealing with counterparty risk and insolvency risk in OTC derivative transactions. First, this paper assesses how authorized institutions can enter an OTC derivative contract in...