Source: CCTV.com

05-11-2009 14:11

Industry insiders from both the Chinese mainland and the Hong Kong Special Administrative Region have welcomed the six addition to the Closer Economic Partnership Arrangement. The supplement, signed on Saturday, is expected to give Hong Kong firms more access to the mainland market for tourism, banking services and securities firms. It will take effect four months earlier than originally anticipated.

Industry insiders from both the Chinese mainland and the  Hong Kong Special Administrative Region have welcomed the  six addition to the Closer Economic Partnership Arrangement.

Industry insiders from Hong Kong's securities sector say investors in the mainland have been interested in H-shares in the Hong Kong market. The new supplement to the CEPA will allow Hong Kong securities firms to provide investment consultation services in Guangdong. They say this will help mainland investors access the Hong Kong market quickly. The scheme allows individual investors from the mainland to invest directly into Hong Kong listed stocks.

Alex Wong Kwok-Ying, director of Asset Management Dept., Ample Finance Group, "we are now able to promote the attractiveness of H shares among mainland investors. This is necessary to help both enlarge listed firms' market shares and build our own brand image."

Under the accord, mainland tourist groups to Taiwan will be able to enter Hong Kong in transit. The Hong Kong tourism industry is welcoming the move, saying this will help attract more mainland tourists with strong purchasing power to the city.

Michael Wu Sui-Ieng, chairman of Hong Kong Assoc. of Travel Agents, says, "now groups travellers for Taiwan tours will be able to enter Hong Kong and go anywhere they like for shopping."

Meanwhile, travel agencies in Shenzhen also say the new accord will provide mainland tourists to Taiwan more choices and further push down prices of Taiwan tours. The supplement also improves management rules for the employment of Hong Kong tour guides by mainland travel agents.

Ma Tao, employee of Shenzhen Branch, CTYS Tours Guangdong Railway co., says, "now we have more choices as we can hire people from Hong Kong. This will help improve tour guides' quality."

The supplement also loosens restrictions across 20 industries. Experts say the new measures will be mutually beneficial and help mitigate the impact of the ongoing economic downturn.

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Editor:Qin Yongjing