Hong Kong has become the premier capital formation centre for the Mainland not just because it provides access to capital and first class financial services but also because firms securing a listing here get themselves a 'Q' mark.

This was the message from the Permanent Secretary for Financial Services & the Treasury Tony Miller speaking at the opening of the second Annual Asiamoney Equity Forum today.

Mr Miller said that since the listing of the first 'H' share in Hong Kong in 1993, a total of 247 Mainland enterprises have listed here.

"It speaks volumes for a common view of the mutual benefits for Mainland enterprises leveraging off Hong Kong's internationally recognised regulatory standards and global reach in order to get international acceptance," he said.

Noting that Hong Kong's great strengths were its world-class financial services, the rule of law, the free flow of capital and information, and a well-regulated and highly liquid market, Mr Miller said: "Mainland firms list here not just to secure access to capital, not just for the PR benefits, but because they want the benchmarking."

The Government is keenly aware of the importance of good corporate governance because this will be vital for Hong Kong's continued success.

While our regulators aim to be market friendly, Mr Miller said they have no intention of lowering quality in pursuit of quantity.

On Hong Kong's economic integration with the Mainland, Mr Miller said the signing of CEPA recognises and strengthens our role in the Mainland's economic development. Hong Kong banks allowed to conduct RMB business will significantly facilitate day-to-day cross-boundary activity.

Mr Miller believed that the trend of increasingly dynamic economic integration within the region is expected to grow with further liberalisation of the Mainland market given its World Trade Organisation commitment.