Hong Kong widened its cross-border investment channel with Shanghai and Shenzhen with two new classes of financial products on Monday, elevating the city’s status as mainland China’s offshore capital hub.

The ETF Connect formally kicked off, allowing global investors to tap 83 exchange-traded funds (ETFs) in China – 53 in Shanghai, 30 in Shenzhen – via accounts held in Hong Kong, an opening that may attract up to 200 billion yuan (US$29.8 billion) of investments within one to two years, according to a forecast by China Asset Management.

Separately, the monetary authorities of China and Hong Kong said they would establish a Swap Connect for global investors to hedge the risks of 3.7 trillion yuan of offshore bonds held by them. The swap will debut at the end of 2022 at the earliest, with interest rate swaps for users to exchang one stream of future interest payments for another, according to a joint statement by the financial and monetary regulators of China and Hong Kong.