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Hong Kong, a city that has weathered the Asian financial crisis with the resilience of its people, will emerge from the current financial tsunami strong and in good shape to capture the opportunities ahead, Director of the Hong Kong Economic & Trade Office in New York (HKETO), Ms Monica Chen, told the business community in Chicago today (May 14, Chicago time).
"Throughout the years of my career in the Hong Kong Government, I have witnessed the city's development into a major international and financial centre, its change of sovereignty, and its speedy recovery from the Asian financial turmoil and SARS crisis with vitality," Ms Chen said.
"China's unprecedented economic growth and its increased economic and social ties with Hong Kong had greatly empowered the city to stand the financial volatility," she said.
Ms Chen's remarks were made when she shared her unique career experience with some 40 business women at the POWER program: Women in International Business Dinner in Chicago.
Highlighting Hong Kong's challenging path to recovery, Ms Chen said the Government has established the Task Force on Economic Challenges immediately after the outbreak of the financial tsunami, and is working on a three-pronged strategy of 'stabilizing the financial system, supporting enterprises and preserving employment'.
The Task Force has recently identified for further developments six industries where Hong Kong enjoys clear advantages, they are testing and certification, medical services, innovation and technology, cultural and creative industries, environmental industry and educational services.
With an economy that has been ranked as the world's freest for the past 15 years by the Heritage Foundation and Wall Street Journal, Ms Chen said Hong Kong will continue to provide a sound, stable and transparent environment for investors at home and overseas.
On top of that, Hong Kong's low and straight forward tax regime, sound legal system, liberal immigration policies and free flow of information and ideas have always been the city's competitive edges for entrepreneurship, she said.
Turning to business opportunities in China, Ms Chen pointed out that given its strategic location at the mouth of Pearl River Delta, efficient airport and port facilities, mature financial and professional services, as well as a comprehensive supporting network, Hong Kong has all along been dubbed as the gateway to China.
Since June 2003, economic cooperation and integration between the Mainland and Hong Kong has further been enhanced by the "Mainland and Hong Kong Closer Economic Partnership Arrangement" (CEPA), she said.
On May 9, both sides agreed on further services liberalisation and trade co-operation. Under the latest CEPA agreement, the Mainland will introduce 29 liberalisation measures covering 20 service sectors, including the two new sectors of research and development, and rail transport. Thus, the total number of service sectors covered by CEPA will be expanded from 40 to 42.
Hong Kong is also poised to become one of the first cities to conduct off-shore Renminbi trading, Ms Chen said.
"Being the first city outside the Mainland to start settling trade using the Renminbi, Hong Kong will provide more business opportunities for its banks and more certainty for companies in settling trade by reducing the risk of exchange-rate fluctuations," she said.
In conclusion, Ms Chen said, "My work in the US has given me a very invaluable opportunity to look at Asia 'from the other side of the fence', as well as experiencing the financial tsunami at the epicenter."
The POWER program is organised by the Women's Networking Community which aims to teach high potential women valuable career skills through breakout sessions at the general reception. It is also part of the "Hong Kong Comes to Chicago 2009" festival which presents an array of art and cultural events, ranging from film series, music concert to gallery talks, to the Chicago audience.
Ends/Friday, May 15, 2009
Issued at HKT 21:34
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