Hong Kong News

Nonpartisan, Noncommercial, unconstrained.
Wednesday, May 29, 2024

The Greater Bay Area economy is almost as big as Italy’s: Paul Chan

The Greater Bay Area economy is almost as big as Italy’s: Paul Chan

The combined GDP of the 11 cities in the Greater Bay Area was close to US$2 trillion in 2022, up 25 per cent from US$1.65 trillion in 2019, Hong Kong’s finance chief says.

The Greater Bay Area’s economy is now comparable in size to Italy’s, with the southern Chinese economic hub expected to continue to be a driving force for Hong Kong’s financial markets and a wide range of industries, according to the city’s Financial Secretary Paul Chan Mo-po.

The combined gross domestic product (GDP) of the 11 cities in the Greater Bay Area – which includes Hong Kong, Macau and nine mainland cities in Guangdong province – was close to US$2 trillion in 2022, up 25 per cent from US$1.65 trillion in 2019, when China announced the blueprint for the development zone, Chan said in a public speech on Saturday.

“The Greater Bay Area recorded strong growth even amid the pandemic,” Chan told over 350 attendants at the 2nd World Chinese Accountants Conference on Saturday held in Wan Chai. Chan was an accountant before joining the government.

If considered as a stand-alone economy, the Greater Bay Area would have ranked as the world’s 9th-biggest economy last year, just below Italy and ahead of Canada, South Korea, Russia and Brazil, according to data from the International Monetary Fund.

In 2019, the Greater Bay Area trailed 11 countries in economic output.

Chan also compared the Greater Bay Area to New York and San Francisco, saying that the development zone is similar to a combination of the two American cities, as “Hong Kong has a strong financial industry like New York, while Shenzhen is like the Silicon Valley”.

The Greater Bay Area will keep being an important growth engine for Hong Kong as its economy gradually rebounds, said Wang Songmiao, secretary general of the central government’s liaison office, at Saturday’s event.

Hong Kong’s GDP grew 2.7 per cent year on year in the first quarter. The government expects the local economy to rise between 3.5 per cent and 5 per cent this year.

Wang Songmiao, Secretary General of the Liaison Office of the Central People’s Government, speaks at the 2nd World Chinese Accountants Conference.

“Hong Kong is back,” Wang said. “That will benefit not only accounting professionals, but also other industries.”

Chan said some 260 companies have gone public under the city’s new listing regime, which was the result of reforms carried out by bourse operator Hong Kong Exchanges and Clearing (HKEX) and other regulators in 2018, allowing companies with multiple voting rights and pre-revenue biotechnology firms to list.

Together, these companies raised more than HK$1 trillion (US$128 billion) over the past five years, said Chan, who became Financial Secretary in 2017.

“These new-economy companies now represent 25 per cent of Hong Kong’s market capitalisation and turnover. Hong Kong has also become the world’s second-largest fundraising hub for biotechnology firms, only next to New York,” Chan said.

“These achievements indicate the importance of reforming our markets from time to time,” he said.

A screen shows a map of the Greater Bay Area during a symposium in Hong Kong in February 2019.

HKEX on Friday said it would introduce yuan share trading starting June 19, in a breakthrough that brokers expect will boost the city’s status as an offshore centre for the Chinese currency.

In March, HKEX started to accept applications by tech companies without revenue to launch initial public offerings as long as they are valued at HK$10 billion or above.

Another growth opportunity for Hong Kong would be to act as a green financing hub for climate change projects, according to Chan.

China’s southern island province of Hainan in October issued 5 billion yuan (US$713.5 million) of “blue bonds” in Hong Kong, tailored to support the protection of oceans and the decarbonisation of related industries.

The Shenzhen government in 2021 also issued 5 billion yuan worth of green bonds in Hong Kong.

“All these offerings have strengthened Hong Kong’s position as an ­offshore yuan trading centre and a green financing hub,” Chan said.

Chan and Wang co-hosted a ceremony on Saturday to mark the establishment of a new alliance among 38 accounting bodies in the Greater Bay Area, the US and the UK, with the aim of arranging more exchange activities between members.


Related Articles

Hong Kong News
It's always the people with the dirty hands pointing their fingers
Paper straws found to contain long-lasting and potentially toxic chemicals - study
FTX's Bankman-Fried headed for jail after judge revokes bail
Blackrock gets half a trillion dollar deal to rebuild Ukraine
Steve Jobs' Son Launches Venture Capital Firm With $200 Million For Cancer Treatments
Google reshuffles Assistant unit, lays off some staffers, to 'supercharge' products with A.I.
End of Viagra? FDA approved a gel against erectile dysfunction
UK sanctions Russians judges over dual British national Kara-Murza's trial
US restricts visa-free travel for Hungarian passport holders because of security concerns
America's First New Nuclear Reactor in Nearly Seven Years Begins Operations
Southeast Asia moves closer to economic unity with new regional payments system
Political leader from South Africa, Julius Malema, led violent racist chants at a massive rally on Saturday
Today Hunter Biden’s best friend and business associate, Devon Archer, testified that Joe Biden met in Georgetown with Russian Moscow Mayor's Wife Yelena Baturina who later paid Hunter Biden $3.5 million in so called “consulting fees”
'I am not your servant': IndiGo crew member, passenger get into row over airline meal
Singapore Carries Out First Execution of a Woman in Two Decades Amid Capital Punishment Debate
Spanish Citizenship Granted to Iranian chess player who removed hijab
US Senate Republican Mitch McConnell freezes up, leaves press conference
Speaker McCarthy says the United States House of Representatives is getting ready to impeach Joe Biden.
San Francisco car crash
This camera man is a genius
3D ad in front of Burj Khalifa
Next level gaming
BMW driver…
Google testing journalism AI. We are doing it already 2 years, and without Google biased propoganda and manipulated censorship
Unlike illegal imigrants coming by boats - US Citizens Will Need Visa To Travel To Europe in 2024
Musk announces Twitter name and logo change to X.com
The politician and the journalist lost control and started fighting on live broadcast.
The future of sports
Unveiling the Black Hole: The Mysterious Fate of EU's Aid to Ukraine
Farewell to a Music Titan: Tony Bennett, Renowned Jazz and Pop Vocalist, Passes Away at 96
Alarming Behavior Among Florida's Sharks Raises Concerns Over Possible Cocaine Exposure
Transgender Exclusion in Miss Italy Stirs Controversy Amidst Changing Global Beauty Pageant Landscape
Joe Biden admitted, in his own words, that he delivered what he promised in exchange for the $10 million bribe he received from the Ukraine Oil Company.
TikTok Takes On Spotify And Apple, Launches Own Music Service
Global Trend: Using Anti-Fake News Laws as Censorship Tools - A Deep Dive into Tunisia's Scenario
Arresting Putin During South African Visit Would Equate to War Declaration, Asserts President Ramaphosa
Hacktivist Collective Anonymous Launches 'Project Disclosure' to Unearth Information on UFOs and ETIs
Typo sends millions of US military emails to Russian ally Mali
Server Arrested For Theft After Refusing To Pay A Table's $100 Restaurant Bill When They Dined & Dashed
The Changing Face of Europe: How Mass Migration is Reshaping the Political Landscape
China Urges EU to Clarify Strategic Partnership Amid Trade Tensions
The Last Pour: Anchor Brewing, America's Pioneer Craft Brewer, Closes After 127 Years
Democracy not: EU's Digital Commissioner Considers Shutting Down Social Media Platforms Amid Social Unrest
Sarah Silverman and Renowned Authors Lodge Copyright Infringement Case Against OpenAI and Meta
Why Do Tech Executives Support Kennedy Jr.?
The New York Times Announces Closure of its Sports Section in Favor of The Athletic
BBC Anchor Huw Edwards Hospitalized Amid Child Sex Abuse Allegations, Family Confirms
Florida Attorney General requests Meta CEO's testimony on company's platforms' alleged facilitation of illicit activities
The Distorted Mirror of actual approval ratings: Examining the True Threat to Democracy Beyond the Persona of Putin
40,000 child slaves in Congo are forced to work in cobalt mines so we can drive electric cars.