OVER the past few years since August 2010 when the State Council approved Qianhai as a pilot zone for deepening cooperation between the Chinese mainland and Hong Kong, the area has regularly achieved significant innovative breakthroughs.

The foremost achievement is the building of efficient mechanisms for facilitating cooperation between Shenzhen and Hong Kong.

Effective mechanisms

In order to make communication smooth, Qianhai implemented a plan that entails convening regular meetings between officials from both sides for staying briefed on the latest developments. Other shareholders concerning the particular projects are also invited to join the meetings for face-to-face dialogue.

Also, Qianhai Authority established a liaison office of Hong Kong that aims to deepen the two governments’ cooperation on public service tasks, involving Hong Kong businesses that intend to settle in Qianhai. With the office’s help, administrative procedures for Hong Kong businesses and startups will be better streamlined.

A Hong Kong Chamber of Commerce was also established in Qianhai, calling upon practitioners from the business communities to take part in Qianhai’s development and construction.

Talent exchange

Cooperation on recruitment projects has also seen progress in Qianhai over the last several years. In 2013, Qianhai Shenzhen-Hong Kong Youth Innovation and Entrepreneur Hub was set up to foster entrepreneurship.

A total of 236 startups, including 118 Hong Kong and Macao businesses, were incubated through the platform, which serves as a springboard from which Hong Kong youth can pursue their occupational dreams on the mainland.

Qianhai also provided 1,442 internships to Hong Kong university students and has received more than 20,000 students from Hong Kong for exchanges and visits to date. An array of other measures aimed at attracting more of Hong Kong’s young entrepreneurs and returning overseas Chinese students are helping solidify the area into a hub of professional talent.

Industrial clusters

Two main industries are especially catered for at Qianhai, namely the modern services and the advanced manufacturing industries. After several years’ worth of revisions, Qianhai has rolled out innovative policies that attract companies from these industries to settle and develop in the area.

Ample land resources are provided there. For instance, the Qianhai SZ-HK Innovation Center has already been put into use with Hong Kong-standard construction modes and a fund town is also about to be finished. Qianhai has allocated 14 lots of land, covering an area of 33.5 hectares, for Hong Kong enterprises.

Financial cooperation

Qianhai has gained fruitful results in terms of cross-border financial cooperation with Hong Kong since its establishment. For instance, the area released policies that encourage innovative cross-border measures including yuan loans, cross-border bonds, capital pools, cross-border equity investment and asset transfer.

Among the five cross-border financial innovations, the cross-border yuan loans are increasing rapidly and steadily. It was recorded that the total loan amount had exceeded over 110 billion yuan (US$16.63 billion). The figure topped all Chinese cities.

Under the favorable policies, many world-renowned financial giants in Hong Kong like HSBC have set up regional headquarters in Qianhai and a considerable number of securities firms as well as public fund companies have also set up subsidies there.

SZ-HK trade

Trade between Shenzhen and Hong Kong is an activity that benefits from mutual cooperation. With Qianhai’s efforts in streamlining the procedures at customs, more quantities of goods have managed to be transferred to Qianhai under the international standard model, efficiently reducing costs.

Radical cooperation has also been improving the convenience of cross-border e-commerce for mainland residents purchasing imported products while also providing platforms for Hong Kong enterprises to showcase their commodities.

Additionally, China Merchants Group, which plans to run 51 harbors in 21 countries, takes a leading role in the Qianhai and Shekou Area of China (Guangdong) Pilot Free Trade Zone. Together with the Prince Bay Cruise Home Port, the free trade zone is gradually becoming an international hub of trade.(Zhang Qian)