China’s recently announced the expansion of a special economic zone in Shenzhen as part of plans to further business links with Hong Kong, including its financial sector.
The Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone will grow from around 15 square kilometers to over 120 square kilometers, according to a statement by China’s State Council.
«The new blueprint was formulated to help Qianhai better play an exemplary and leading role in the development of the Guangdong-Hong Kong-Macao Greater Bay Area,» the statement said.
«By 2035, Qianhai will boast world class business environment, and become an engine for high-quality development with strong capability in global resource allocation, breeding innovation and leading coordinated development.»
Financial Sector Boost
According to the plans, Hong Kong’s financial sector will benefit from opportunities in the special economic zone such as cross-border securities investment services, yuan internationalization and greater green finance cooperation within the 11-city cluster Greater Bay Area.
The latest move to expand the zone coincides with other efforts to deepen financial links between Hong Kong and mainland China including the Wealth Connect program – a Greater Bay Area initiative which allows cross-border sales of wealth management products – which is expected to launch next month.
