Updated at 5.29pm: Hong Kong's service industry was poised to gain considerably from the Closer Economic and Partnership Arrangement this year, John Tsang Chung-wah, Secretary for Commerce, Industry and Technology said on Monday. Mr Tsang told reporters Cepa would encourage companies to hire new staff in 2005. 'In 2005, it is expected that 7,200 new jobs will be created in six service sectors, including logistics, retail, advertising and telecommunication. Of these, 6,800 would be opened in Hong Kong and 480 in the mainland,' he said. Mr Tsang said that according to a recent government report, many companies would increase their investments in Hong Kong because of Cepa. 'To cope with business expansions under Cepa, companies in the six areas invested an additional $1 billion in Hong Kong in 2004. It is expected that the amount will increase by $4.2 billion in 2005,' he said. Mr Tsang also said there were 68 mainland enterprises registered in Hong Kong last year, involving $360 million investments.