Xiamen gets nod as cross-strait financial hub

PUBLISHED : Monday, 21 June, 2010, 12:00am
UPDATED : Monday, 21 June, 2010, 12:00am

The State Council has approved a plan to make Xiamen, the mainland city closest to Taiwan, a cross-strait financial hub.

Fujian Communist Party secretary Sun Chunlan told a cross-strait forum in Xiamen yesterday that the coastal city would be the first to test some major reforms of financial policies, but she did not elaborate.

Last year, the city applied to be the mainland's first settlement centre for the official currencies of China and Taiwan. If approved, this would be a short cut for existing fund flows from Taiwan to Xiamen through Hong Kong.

This plan will rival the ambition of Fuzhou, the provincial capital, to position itself as a twin financial, economic and trade hub with Taipei.

Sun said Fujian authorities would seek to improve funding services for Taiwanese investors.

The State Council plans to create a special economic belt along the west coast of the Taiwan Strait - stretching across cities from the Pearl River Delta to the Yangtze River Delta - between 2012 and 2020 to entice more Taiwanese investment in the region.