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The Financial Secretary, Mr John C Tsang, today (December 2, Santiago time) began his packed schedule in Santiago.
Mr Tsang started the day with a breakfast meeting with the Santiago business community, organised by the Invest Hong Kong. Making special reference to Hong Kong's strategic position in Asia, he told his audience that there was room for closer economic and financial ties between the two places.
Mr Tsang then called on the Chilean Minister of Agriculture, Mr Josˆm Antonio Galilea, and witnessed the signing ceremony for the Hong Kong ¡V Chile Memorandum of Understanding on Co-operation in Wine-related Businesses.
Mr Tsang noted that the agreement was the first on wine that Hong Kong had sealed with a South American country. He encouraged more Chilean companies to set up companies in Hong Kong, and to reach out to the expanding Asian market, particularly the Mainland of China, through Hong Kong.
He then moved on to a bilateral meeting with the Chilean Minister of Economy, Development and Tourism, Mr Juan Andrˆms Fontaine. This was followed by a briefing for Hong Kong business delegates who are joining Mr Tsang on his visit to Chile and Brazil.
At the Hong Kong Trade Development Council business luncheon, Mr Tsang talked on key areas where stronger co-operation between Hong Kong and Chile can boost bilateral trade and investment, promote free markets in the Asia Pacific and create jobs, wealth and even stronger links. These key areas are a greater two-way flow of investment, financial collaboration and services.
Mr Tsang said that Chilean firms can tap into the Mainland's growth and Hong Kong's liquid capital markets by listing on the stock market in Hong Kong. He also encouraged Chilean enterprises to leverage on Hong Kong's expertise as a centre for offshore Renminbi business to settle their Mainland trade in Renminbi, saying that it would offset the risk of exchange rate fluctuations and give more certainty to business transactions.
Mr Tsang went on to speak about Hong Kong's unique free agreement with Mainland China, the Closer Economic Partnership Arrangement (CEPA), explaining that CEPA was relevant to their businesses and could be used to their advantage.
"Companies from around the world, including Chile, that are incorporated in Hong Kong can enjoy the full benefits of CEPA in accessing markets throughout Mainland China.
"Companies in no fewer than 44 services areas now enjoy a first-mover advantage and enhanced access to Mainland markets under CEPA. These are banking, insurance, mining services, trade and logistics and shipping services.
"Above all, CEPA is another example of how teamwork between different economies can open up markets and promote free trade," he said.
Later in the evening, Mr Tsang and the Hong Kong business delegation attended a dinner hosted by the Asia Pacific Chamber of Commerce.
Mr Tsang arrived in Santiago yesterday (December 1, Santiago time) after concluding his visit to Auckland, New Zealand. Upon arrival in Santiago, Mr Tsang called on the Chinese Ambassador to Chile, Mr Lu Fan.
Joined by a high-level business delegation, Mr Tsang is on a visit to Latin America from December 1 to 8. They will visit Santiago, Chile from December 1 to 4 and Brazil from December 5 to 8.
Ends/Friday, December 3, 2010
Issued at HKT 10:11
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