Closer ties with mainland China are good for Hong Kong business

Not long ago, Premier Li Keqiang (李克強) approved a document from nine provinces promoting pan-PRD (Pearl River Delta) cooperation at a higher level, involving more areas and in a wider range. Hong Kong and Macau were also included, and the overall programme was named the “9+2 regional development concept”. Last week, at the Boao Forum for Asia, Premier Li again mentioned that we would launch the Shanghai-Hong Kong Stock Connect this year.

Mainland Chinese investors and brokers not interested in Shenzhen-Hong Kong stock connect

These initiatives show that when making development plans, the central government has thoughtfully considered the position of the Hong Kong and Macau SARs, although they are not fully included in the 13th five-year plan owing to the “one country, two systems” policy.

During the Boao Forum, I took part in a meeting on the Asia Competitiveness Annual Report 2016, and learned that Hong Kong continues to rank second among 37 Asian economies. The report notes that Hong Kong has efficient, stable and reliable business systems and financial markets, as well as world-class transport infrastructure and high-quality information networks.

Hong Kong and Macau to be integrated with nine mainland provinces: State Council plan

There is no doubt that Hong Kong remains one of the most competitive economies in the world. So how can it remain competitive and achieve greater economic development? It might be a good decision to strengthen economic integration with the mainland, and make good use of mechanisms such as the 9+2 regional development initiative.

Mainland residents generally have a friendly feeling for people in Hong Kong, which provides a unique advantage for the SAR. The city’s entertainment industry once took the lead in Asia, and influenced several generations of people on the mainland. In addition to shopping, it is one important reason countless people from the mainland visit Hong Kong. Some people think that the entertainment industry is in decline, but I disagree. Hong Kong’s entertainment industry is not sinking, but instead is typically representative of economic integration with the mainland.

Witness the sensation caused by the grand wedding ceremony of Huang Xiaoming and Angelababy in Shanghai last year. When Hong Kong and the mainland work together, they can produce greater value. As another example, The Mermaid harvested box-office gold over the Lunar New Year as many mainland people regard director Stephen Chow with special esteem. No one can clearly say whether this movie should be classified as a Hong Kong film or not, and maybe few people care. In fact, the entertainment industry in Hong Kong and the mainland have fused together to become one of the foundations for the development of the Chinese film and television industry, allowing Hong Kong artists to benefit considerably in the process.

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I believe that the economic integration of Hong Kong and the mainland is an irreversible trend, and following the trend will be more favourable for Hong Kong.