Red and white lights light up the facade of the Esplanade and National Gallery Singapore, as part of the upcoming celebrations for the 55th anniversary of independence of Singapore, in Singapore on July 30, 2020. Singapore will celebrate its 55th anniversary of independence on Aug. 9. (Xinhua/Then Chih Wey)

Singapore Exchange (SGX) said it aims to attract more Chinese technology firms to get listed by supporting the investment and financing needs of Chinese companies, which shows its ambitions to boost Singapore's position in Southeast Asian capital markets.

SGX is determined to support the financing and investment needs of Chinese companies under the gradual maturity of the capital market ecosystem in Singapore, and to look for opportunities to expand business in Southeast Asia, said Karen Chen, vice chairman of China with the Singapore Exchange. 

SGX aims to establish cross-market interconnection, deepen support for cross-market capital flows, and support the investment and financing needs of Chinese companies, she added. 

Her comment came against a backdrop of US-listed Chinese companies accelerating their homecoming to China.

Hundreds of Chinese companies went public in the US more than a decade ago as US capital markets were at that time more inclusive than Chinese capital markets. They offered more options for Chinese companies, especially for startups.

However, as the US is tightening its listing rules for Chinese firms, Chinese capital markets are maturing and becoming more inclusive to welcome more domestic companies back home.

The Shanghai Stock Exchange in June also issued new regulations to support the return of US-listed Chinese companies to the Shanghai Sci-Tech Innovation Board, or STAR market. A new share index focused on Chinese tech giants has also been launched by Hong Kong's stock market.

Chen said SGX aims to establish interconnections that support the Belt and Road Initiative, triggered by China's commitment to the opening-up of its financial market.

SGX on Friday reported a 2020 net profit (for the whole of 2020? That seems strange; it's only July) of S$472.0 million (S$391.1 million - should that be US$?), with revenues of S$1,052.7 million.