Chengdu hot on the SAR’s finance trail
Chengdu ... has what it takes to become a predominant financial center in the country’s central and western regions.”
deputy director of the Chengdu municipal finance
Chengdu — the capital city of the southwestern province of Sichuan — is banking on and taking a leaf from Hong Kong’s rich expertise and experience in the SAR’s robust finance services industry, as well as its sound capital base, to realize its goal of becoming western China’s financial hub.
Chengdu’s 13th five-year plan unveiled in May this year calls for its financial services sector to increase the industrywide added value from 138.6 billion yuan ($20.8 billion) to no less than 220 billion yuan, and the proportion of its added value to more than 12 percent of the city’s gross domestic product by 2020.
At the heart of the goal comes the on-going establishment of “Chengdu Financial City”, which aims to join the likes and replicate the success of London, New York, Hong Kong, Shanghai’s financial district Lujiazui and Beijing Financial Street.
“As we forge ahead with this goal in a progressive manner, the bilateral relationship between Chengdu and Hong Kong will take on a new significance,” Fan Ruiping, a member of the Standing Committee of the Sichuan Provincial Party Committee, told the “Chengdu Building a National Finance Center in Western China” forum in Hong Kong on Tuesday.
The forum was held on the second day of the “SichuanHong Kong-Macao Cooperation Week”, with Sichuan Governor Yin Li heading a delegation of his top aides to the SAR to boost economic and trade links between the two regions.
Yin’s trip comes as Hong Kong marks the 20th anniversary of its return to the motherland and strives to boost economic and trade ties with cities on the Chinese mainland.
Up to 16 investment and trade deals worth $15.7 billion were signed between Hong Kong and mainland enterprises at the forum.
Chengdu, with a population of nearly 16 million and covering an area of more than 14,000 square kilometers, has what it takes to become a predominant financial center in the country’s central and western regions, said Liang Qizhou, deputy director of the Chengdu municipal finance office.
According to the 8th edition of the China Financial Center Index released by the China Development Institute last year, Chengdu ranked first in the central and western regions and fifth nationwide in terms of competitiveness as a financial powerhouse.
“Banking on a long and fruitful track record of crossboundary collaboration with Hong Kong, Chengdu seeks to polish its brand as a magnet for Hong Kong’s well-established financial institutions and professional talents to set up businesses and carve out their careers,” Liang said.
“This could be a big lift for the city’s financial sector in making a name for itself in the global arena,” he said.
“Hailed as a worldrenowned financial hub, the largest offshore renminbi center, and a pivot city along the Belt and Road route, Hong Kong has a wealth of good expertise, particularly in the areas of wealth management and venture capital investment, to share with Chengdu in its quest for a regional leading edge in the financial sector,” said James Henry Lau, Hong Kong’s secretary for financial services and the treasury.