hkskyline
January 6th, 2005, 11:26 PM
InvestHK marks record year for foreign tie-ups
Lee Yuk-kei, Hong Kong Standard
January 7, 2005
InvestHK, a government body set up to lure foreign investment, said it helped 44 per cent more foreign firms expand or set up operations in the territory in 2004 - to a record 205 - and it expects the figure to rise this year after China eased restrictions on mainland investment in the SAR.
InvestHK director-general Mike Rowse said the agency's projects created more than 3,000 jobs last year and the same companies plan to create an additional 4,600 jobs over the next two years. More than HK$4.66 billion was invested during 2004, he said.
Of the 205 investment projects completed in 2004, 45 companies have indicated that Cepa, the free trade pact between Hong Kong and China, was one of the factors considered when making the investment.
"We have an aggressive business plan for the next 12 months and our target for 2005 is 220 completed projects, a 10 per cent increase over the 2004 target and 7 per cent more than the actual result," Rowse said.
Hong Kong has been the main beneficiary of China's opening trade policy. The Closer Economic Partnership Arrangement (Cepa) became effective last year and the Ministry of Commerce relaxed rules for mainland enterprises to invest in the SAR in August.
The territory's foreign direct investment inflow soared to HK$193.1 billion in the first nine months, HK$86.8 billion more than for the whole of 2003, according to figures released earlier by the Census and Statistics Department.
InvestHK associate director-general Ophelia Tsang said mainland firms will gradually take up more of the pie of foreign companies investing in Hong Kong. Mainland firms are expected to account for between 20 and 25 per cent of the total in 2005, compared with 17 per cent last year, she said.
Rowse, however, said rising office rents may slow the growth of foreign investment in the SAR.
Lee Yuk-kei, Hong Kong Standard
January 7, 2005
InvestHK, a government body set up to lure foreign investment, said it helped 44 per cent more foreign firms expand or set up operations in the territory in 2004 - to a record 205 - and it expects the figure to rise this year after China eased restrictions on mainland investment in the SAR.
InvestHK director-general Mike Rowse said the agency's projects created more than 3,000 jobs last year and the same companies plan to create an additional 4,600 jobs over the next two years. More than HK$4.66 billion was invested during 2004, he said.
Of the 205 investment projects completed in 2004, 45 companies have indicated that Cepa, the free trade pact between Hong Kong and China, was one of the factors considered when making the investment.
"We have an aggressive business plan for the next 12 months and our target for 2005 is 220 completed projects, a 10 per cent increase over the 2004 target and 7 per cent more than the actual result," Rowse said.
Hong Kong has been the main beneficiary of China's opening trade policy. The Closer Economic Partnership Arrangement (Cepa) became effective last year and the Ministry of Commerce relaxed rules for mainland enterprises to invest in the SAR in August.
The territory's foreign direct investment inflow soared to HK$193.1 billion in the first nine months, HK$86.8 billion more than for the whole of 2003, according to figures released earlier by the Census and Statistics Department.
InvestHK associate director-general Ophelia Tsang said mainland firms will gradually take up more of the pie of foreign companies investing in Hong Kong. Mainland firms are expected to account for between 20 and 25 per cent of the total in 2005, compared with 17 per cent last year, she said.
Rowse, however, said rising office rents may slow the growth of foreign investment in the SAR.