Qianhai aims at a new height of opening-up
Built from scratch into one of the fastest developing areas in China, the China (Guangdong) Free Trade Zone Qianhai & Shekou Area has been known for the height of reform and opening-up over the years. By the end of October, Qianhai has seen an annual rise of 99.6 percent in the number of registered firms, from 5,215 to 175,200, 170% in taxation, 200% in foreign investment in actual use and 84% in fixed asset investment.
For Tian Fu, director of the Authority of China (Guangdong) Pilot Free Trade Zone Qianhai & Shekou Area, the area will remain steadfast in placing itself among the pacesetters of free trade areas around the world by spurring institutional innovation. According to a report released by Sun Yat-Sen University, Qianhai ranks No. 1 in terms of institutional innovation among all domestic free trade areas.
By far, Qianhai has released a total of 401 institutional innovations, among which 133 are initiatives countrywide. Consequently, the area has seen a surge in registered firms and capital from home and abroad over the last ten months. A total of 240 licensed financial institutes have registered in Qianhai by October this year.
Hong Kong enterprises have taken a keen interest in starting businesses in Qianhai. By October, 10,120 Hong Kong companies have been registered, with capital totaling more than 1.1 trillion yuan (US$162 billion). Manifold measures have been taken to promote cooperation between Shenzhen and Hong Kong. For instance, one-third of Qianhai’s land space will be assigned to Hong Kong enterprises; a cluster area for Hong Kong enterprises is in operation, luring big names such as HSBC, Bank of East Asia and Kerry Properties to start businesses; among the 340 startups incubated by The Shenzhen-Hong Kong Youth Innovation and Entrepreneur Hub, 169 are from Hong Kong or Macao. Reaping benefits from the enormous opportunities provided by Qianhai, Hong Kong enterprises have gradually become the core of this area.
With reference to international business guidelines and the legal environment in Shenzhen and Hong Kong, Qianhai has set up an innovative legal framework, featuring the trinity of judiciary, arbitration and mediation, to ascertain efficient solutions to business disputes concerning overseas affairs and intellectual properties.
Being in the global limelight, Qianhai also receives suggestions from renowned figures that are members of the advisory committee for the Qianhai and Shekou free trade zone in terms of fintech, commodities pricing, technological innovation, infrastructure and smart city development.