New strategic development forum launched in Hong Kong
The Pan-Pearl River Delta Regional Co-operation and Development Forum, the largest regional co-operation project of its kind in China, was officially launched in Hong Kong today (June 1).
The region comprises nine provinces -- Fujian, Jiangxi, Hunan, Guangdong, Guangxi, Hainan, Sichuan, Guizhou and Yunnan -- and the Hong Kong and Macau special administrative regions.
Speaking at the launch, the Chief Executive, Mr Tung Chee Hwa, said the forum would have a decisive bearing on the complementary advancement of the pan-PRD economy encompassing an area spanning eastern, central and western China.
"The pan-PRD group is comparable to the 10-nation ASEAN in terms of its population, size of economy, total volume of external trade and intake of foreign investment," he said.
"Last year the region registered a collective GDP of US$630 billion, accounting for about 40% of China's total economic output. This regional GDP is forecast to exceed US$1,000 billion by 2010 and reach US$2,000 billion by 2020."
Mr Tung said economic co-operation in this region would not only enhance its overall competitiveness but also facilitate China's reforms, opening up and economic development.
"The priorities ahead will be to turn this innovative concept into concrete reality so that it can become the platform and driver of economic collaboration and development," he said.
The Chief Executive said that with its highly open and cosmopolitan outlook, Hong Kong could act as an intermediary for external economic co-operation, linking the pan-Pearl River Delta region and the rest of the world. And Guangdong Province, which initiated the concept, should play a leading role in the process of regional co-operation and development.
Comparing the strengths of Hong Kong and Mainland provinces, Mr Tung said the nine southern provinces were a major manufacturing base and consumer market, while Hong Kong had advantages in raising capital, financing, information exchange and delivering services.
With a stronger capability in doing business and opening up new markets, Hong Kong could become a hub of high-value-added services in the region.
"Closer partnership between Hong Kong and the other provinces calls for new directions, new formats and new areas of co-operation," said Mr Tung.
The service industry is the mainstay of the Hong Kong economy, particularly financial, logistics, tourism and professional services, which are also among the fastest-growing, most promising sectors emerging in the rest of the region.
"Stepping up co-operation in these key areas should be the best way to leverage individual strengths and create a collective synergy," he said.
Mr Tung said that to activate the pan-PRD regional co-operation, it was necessary to launch large-scale infrastructure projects, capital-raising activities and business promotion events.
Challenges ahead
Speaking at the same forum, the Chief Secretary for Administration, Mr Donald Tsang, said pan-PRD co-operation was a process with a lot of challenges.
These challenges included the difficulties in building cross-provincial infrastructure, differences among the systems in various places, and problems in skills-exchanges.
"Governments' determination and business wisdom are essential to overcoming these challenges," Mr Tsang said.
"The ultimate objective of CEPA and PPRD regional co-operation are the same. Hong Kong will continue strengthening the economic structure of its service industry and making our trade more diversified. All these will further facilitate pan-PRD co-operation," he said.
Business boost to HK and Macau
Mr Zhang Dejiang, the Guangdong Provincial Party Committee Secretary, said the forum would help implementation of the Mainland-Hong Kong Closer Economic Partnership Arrangement and boost businesses in Hong Kong and Macau.
Mr Zhang, who is also a China Central Committee Communist Party Political Bureau member, said that in 10 to 20 years, Guangdong would become the world's major manufacturing base, Hong Kong the major international logistics, finance and trade services centre, and Macau the most attractive gambling and tourism centre and a regional trade services platform.
The strengthened co-operation between the three places would turn the pan-Pearl River Delta into the world's most prosperous and vibrant economic centre, he said.
On improving the co-operation mechanism, Mr Zhang said co-ordination committees would be set up at different levels to improve communication among provinces and special administrative regions.
The forum's theme is 'Prosperity through Partnership'. It is being held over three days in Hong Kong, Macau and Guangzhou.
Ends/Tuesday, June 1, 2004
