Beijing is to lift curbs on mainlanders visiting Hong Kong to help overcome the post-handover tourism slump.
Hong Kong and Macau Affairs Office director Liao Hui announced the move during a meeting with Financial Secretary Donald Tsang Yam-kuen in the capital last night.
Mr Tsang said: 'There were restrictions imposed on tourists coming to Hong Kong from the mainland after July 1 to avoid a mass influx.
'Since the situation has stabilised and tourism is low in Hong Kong, Mr Liao believes the restrictions are no longer necessary.' Mr Liao told him they would restore the number of mainland visitors to pre-handover levels.
About 2.29 million mainlanders visited the territory last year, down from 2.31 million in 1996. The number also dropped by 8.2 per cent last month compared with January last year. Overall year-on-year visitor arrivals were down nearly 25 per cent.
Meanwhile, senior mainland officials praised Mr Tsang's first post-handover budget.
Before hosting a dinner for Mr Tsang at the Diaoyutai state guesthouse, Finance Minister Liu Zhongli said it was a budget that cared for ordinary people.