Analysts divided on impact of Qianhai-BVI move on Hong Kong

The memorandum of understanding with the BVI is expected to boost international investment in Qianhai, the development of which is in its early stages. Photo: Reuters

Qianhai, the special economic zone in Shenzhen intended as a test bed for China's yuan liberalisation and financial reforms, has strengthened its financial co-operation with the British Virgin Islands (BVI), a leading offshore tax haven, but analysts are divided as to whether the move will be a threat or a benefit to Hong Kong.

Thursday, 16 January, 2014, 1:44am

QDII3 to benefit Hong Kong, say bankers

Only a few Hong Kong firms have set up shop in Qianhai so far. Photo: Reuters

Bankers and brokers believe a HK$100 billion investment scheme, dubbed QDII3, in the Qianhai economic zone in Shenzhen would benefit Hong Kong's standing as an offshore yuan centre in the face of overseas challengers but say it could take a long time for Beijing to approve it.

3 Dec 2013 - 4:13am

Qianhai bypassed as firms head for Shanghai Free-trade Zone

Shanghai's new free-trade zone is seen more attractive than other planned zones as it is expected to get more high-level support and wider policy coverage. Photo: Xinhua

Qianhai first, Hong Kong next? While Hong Kong officials have been concerned about the impact of Shanghai's free-trade zone, it seems it is already stealing business from Qianhai.

1 Oct 2013 - 10:58am

Shenzhen River is no barrier to growth

Qianhai construction site in Shenzhen. Photo: Edward Wong

In the three decades since Shenzhen's opening up, there have been joint developments with Hong Kong on many levels. Capitalists in both cities joined hands to facilitate industrial expansion and pave the way for developments in logistics and the exhibition industry. Joint opportunities have arisen in the academic field, too, with five Hong Kong universities operating campuses in Shenzhen.

30 Sep 2013 - 2:43am

Excellence Group stuns big players with winning Qianhai bids

Development in the Qianhai special economic zone, which held its first land auction for commercial use yesterday. Photo: Edward Wong

Excellence Group, only the mainland's 48th-largest developer in terms of sales in the first half of this year, stunned the market yesterday when it beat big property players to secure two commercial sites in the first land auction in Shenzhen's Qianhai special economic zone for a total of 12.36 billion yuan (HK$15.5 billion).

27 Jul 2013 - 4:45am 1 comment

Investors want more details on Qianhai

Brett McGonegal says his company is looking for partners to invest in Qianhai. Photo: Jonathan Wong

Brett McGonegal, the chief executive of Reorient Financial Markets, said it had been talking to three private equity funds - two mainland and one global - on potential partnerships.

19 Jul 2013 - 5:30am

Qianhai and Hong Kong: like Canary Wharf and the City of London?

Zhang Bei. Photo: Edward Wong

First, Shanghai. And now, Qianhai! Which other cities are waiting to join the competition with Hong Kong? Last week, I went to Qianhai, the small but important development zone in Shenzhen, for an interview with Zhang Bei, Qianhai's top boss.

6 Sep 2013 - 10:37am 1 comment

Qianhai economic zone chief says it won't compete with Hong Kong

Dozens of offices and support facilities will be built on this Qianhai site over the next few years.

The 15-square-kilometre site of the Qianhai special economic zone looks more like a construction site than a booming financial centre. But the top official in charge of the development says it will not only play a key role in liberalising the yuan but also help Hong Kong keep its status as a world-leading financial centre - a status many fear is threatened by Shanghai's ambitious rise.

6 Sep 2013 - 8:07am

Hong Kong to see surge in yuan loans to Qianhai

Qianhai. Photo: Edward Wong

Cross-border yuan loans to firms in the Qianhai special economic zone may exceed the volume of yuan loans in Hong Kong in two to three years, a senior banker at Citibank said.

Anson Kwok, the managing director and head of commercial bank at Citi, said firms in Qianhai might take out yuan loans in Hong Kong to pay off old loans on the mainland, where interest rates are higher.

23 Apr 2013 - 4:45am

Freer transfer of offshore yuan in Qianhai urged

The Qianhai experimental zone was first mooted by Shenzhen in 2010 as a testing ground for economic liberalisation. Photo: Edward Wong

The Hong Kong government is lobbying Beijing to make it easier for local private equity funds to transfer offshore yuan to the mainland as part of efforts to help the city's financial firms take full advantage of the Qianhai special economic zone project.

8 Apr 2013 - 3:17am

Hong Kong brokers push for joint ventures in Qianhai economic zone

The zone was first mooted in 2010. Photo: Edward Wong

In January, Cheung led a delegation of securities professionals to sign an agreement with the Authority of the Qianhai Shenzhen-Hong Kong Modern Service Industry Co-operation Zone, under which the two sides would propose measures to attract Hong Kong and international financial firms to invest in Qianhai.

3 Apr 2013 - 5:30am

Q & A with our experts, March 27, 2013

Sammy Po

Q: I planned to buy a flat. I heard that buyers have to face a tougher stress test under the new cooling measures released by the government. I'm wondering how it affects my purchase plan.

28 Oct 2013 - 11:41am

Keen interest seen in Qianhai's first land sale

Qianhai has been designated as a central business district and for high-end development. It will launch its first land auction in the first half of the year. Photo: Edward Wong

Qianhai, a 15 square kilometre zone, would launch its first public land auction in the first half of the year, Xinhua reported. After the land was auctioned off, 4 million to 5 million square metres of residential property would be built on it this year, the agency said.

15 Mar 2013 - 5:48am

Qianhai a potential investment alternative to Hong Kong

An 18 sq km area is being developed in Qianhai, which is being touted as a viable option to Hong Kong. Photo: Edward Wong

Despite signs of increased activity in the office market leading up to the Lunar New Year break, occupier demand in Hong Kong remains rather subdued. However, despite the lack of movement, vacancy rates continue to trend downwards and are below 3 per cent for the market as a whole. Given that office markets worldwide generally require a level of vacancy of 6-8 per cent, the situation obviously remains extremely tight for occupiers.

13 Mar 2013 - 5:07am

Can real reform take root in Qianhai?

Illustration: Lau Ka-kuen

Experts remain divided on whether Qianhai will meet its lofty goal of helping to transform today's China like the first special economic zones in Shenzhen and Zhuhai did 30 years ago.

4 Mar 2013 - 5:42am 1 comment