Exsecutives from both sides attend the memorandum of understanding signing ceremony on June 19, 2014 in Luxembourg. [Photo / Provided to China Daily]

The Luxembourg Stock Exchange signed a memorandum of understanding (MOU) on Thursday with the Bank of China for a strategic partnership between the two companies.

The exchange and the bank will cooperate in the listing of a wide range of securities. They also aim to promote Luxembourg as the ideal venue for international listings and to develop financial activities related to the internationalization of the Chinese renminbi (RMB), according to the MOU.

The signing underlines the expertise and ability of the Luxembourg Stock Exchange and the Luxembourg financial sector to provide a platform for international RMB business.

The bank and the exchange have already taken steps to foster RMB business in Luxembourg. In May, Bank of China was the first mainland Chinese company to issue an RMB bond in the Eurozone. Its RMB "Schengen bond" was listed on the Euro MTF market of the Luxembourg Stock Exchange and has strengthened the exchange's position for the listing of offshore RMB bonds.

The Luxembourg Stock Exchange listed Europe's first offshore RMB bond from a non-Chinese issuer, or Dim Sum bond, in 2011. With 43 Dim Sum bonds listed for issuers from 20 countries, it is the No 1 listing venue for the bonds in Europe.

Exsecutives from both sides attend the memorandum of understanding signing ceremony on June 19, 2014 in Luxembourg. [Photo / Provided to China Daily]