MTS S.p.A. is pleased to announce that it has signed a letter of intent with the China Foreign Exchange Trade System (CFETS) under which both parties have agreed to cooperate towards the development of a transparent, liquid and efficient domestic fixed-income market in the People's Republic of China.
This strategic partnership will facilitate the exchange of respective expertise and market intelligence with a view to combining MTS's European Bond Market model with the distinctive domestic requirements necessary to create an electronic reference market for China. The partnership will utilise CFETS's understanding of the Chinese market and MTS's expertise in facilitating efficiency and liquidity in fixed-income markets. CFETS currently operates China's official interbank fixed-income market.
Gianluca Garbi, Chairman of the Management Board of MTS S.p.A., commented: "We look forward to cooperating with the China Foreign Exchange Trade System and utilising their expertise in order to further our understanding of Chinese market practices. China is a rapidly developing economy and, as such, we also look forward to exploring the possibility of a formal venture."