Hong Kong and Shenzhen ink three new cross-border economic agreements as special zone draws over 2,300 companies
Shenzhen mayor states the Hong Kong companies’ combined registered capital reached 310 billion yuan
Hong Kong and Shenzhen signed three agreements today to foster greater cross-border economic cooperation, with the Qianhai special economic zone serving as the bridge.
Speaking at an annual meeting on Hong Kong-Shenzhen co-operation, Shenzhen mayor Xu Qin said over 2,300 Hong Kong companies had set up branches in the special economic zone so far, and the combined registered capital of the companies reached 310 billion yuan.
“Hong Kong companies tend to have better quality compared with other institutions in Qianhai,” Xu told officials and media at the meeting.
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Forty per cent of the Hong Kong companies that registered in the special zone had invested at least US$10 million in their Qianhai developments. The registered capital of all Hong Kong companies was 62 per cent higher than that of other institutions in Qianhai, according to the Shenzhen mayor.
Xu said well-regarded companies like Chow Tai Fook, MTR, and Kerry Logistics had achieved strong financial performance over the border, with the 2,300-odd companies contributing 20 per cent of the zone’s total revenue.
“The initial purpose of setting up this special economic zone was to accelerate the cooperation between the two cities.” said Xu. “It has been proven that people’s knowledge about the region’s systems and operations has grown enormously in the past few years.”
Xu said Qianhai should become a highly important platform for Hong Kong to “expand its industries, serve the mainland and expand development space”. He added it cohered with the nation’s thirteenth five-year plan to advance cooperation among cities in the Pearl River Delta.
Chief Secretary Carrie Lam Cheng Yuet-ngor echoed Xu’s call in the same meeting to seek “deeper cooperation” between the cities.
“Two of the three signed agreements are related to Qianhai,” Lam said. She noted an information exchange platform between Hong Kong and Shenzhen to innovate enterprises would soon be set up in Qianhai.
She also said Hong Kong had its advantages in the modern services industry, while Qianhai enjoyed special policy benefits thanks to the central government, which could bring bilateral cooperation to a “new level”.
