Hong Kong-funded companies have become an integral part of Qianhai’s economy, with nearly 90 percent of the overseas investment used in the free trade area in the first half of 2019 being from Hong Kong, according to official statistics.
The actual use of overseas investment in the first six months of this year in the free trade area of Qianhai and Shekou reached US$2.53 billion, up 12.1 percent year on year, accounting for approximately 60 percent of the city’s total of the same period and more than 20 percent of Guangdong Province’s total. Among the used overseas investment in the free trade area, US$2.27 billion, or 89.7 percent of the total, was Hong Kong funds.
The added value of Hong Kong-funded enterprises in Qianhai and Shekou saw a year-on-year growth of 9.7 percent in the first six months of this year, and their tax revenue increased 10.8 percent compared to the same period last year.
The free trade area was home to 11,555 Hong Kong-funded companies as of June 2019, with a combined registered capital of 1,234.35 billion yuan (US$176.33 billion). World-renowned Hong Kong companies, such as The Hongkong and Shanghai Banking Corp. Ltd., Hang Seng Bank Ltd., The Bank of East Asia Ltd., The Hong Kong Stock Exchange, Kerry Corp., Chow Tai Fook, New World Group and Wharf Holdings, have set up companies in Qianhai.
More than half of the 190 international startups from Hong Kong, Macao and other regions incubated at Qianhai Shenzhen-Hong Kong Youth Innovation and Entrepreneur Hub have received a total of 1.5 billion yuan in investment.
The Qianhai authority has enacted a series of measures to address problems that the Hong Kong-funded companies have faced during development, such as office space.
Qianhai has accumulatively sold 18 land parcels with a combined area of 37.26 hectares to Hong Kong-funded companies over the past few years, accounting for 45.9 percent of the total land Qianhai has sold for commercial use. The total floor space of the constructions on the 18 land parcels has reached 2.93 million square meters, accounting for nearly 50 percent of the total office space in Qianhai.
More efforts are being made to enhance cooperation between Shenzhen and Hong Kong while pushing forward the construction of Qianhai as a new urban center for the Guangdong-Hong Kong-Macao Greater Bay Area.