Presentation is loading. Please wait.

Presentation is loading. Please wait.

Attracting and Retaining Foreign Direct Investment Hong Kong: Asia’s Business Capital for China and Beyond Simon Galpin Director General.

Similar presentations


Presentation on theme: "Attracting and Retaining Foreign Direct Investment Hong Kong: Asia’s Business Capital for China and Beyond Simon Galpin Director General."— Presentation transcript:

1 Attracting and Retaining Foreign Direct Investment Hong Kong: Asia’s Business Capital for China and Beyond Simon Galpin Director General

2 Mission and Objectives Spearhead HK’s efforts to attract and retain foreign direct investment Promote HK’s enduring advantages and status as a leading business hub in the region Assist companies with potential to contribute to HK’s economy to set up and expand in HK Provide aftercare support to the international business community in HK Work with policy bureaux and departments on issues of concern to investors to enhance Hong Kong’s competitiveness as a business-friendly location

3 Investment Promotion – Reaching Out to Companies to Attract FDI 5,576 1,472 657 284 Overseas/Mainland Meetings Prospects Live Projects Projects Completed 2010 As at 31 Dec 2010

4 Representation in 26 Cities Around the World Asia Pacific Mainland and Taiwan EuropeMiddle East North and South Americas Investment Promotion Units (in ETOs) Sydney Tokyo Beijing Chengdu Guangzhou Shanghai Berlin Brussels London -New York San Francisco Toronto ConsultantsBangalore Kuala Lumpur Mumbai Osaka Seoul TaipeiDüsseldorf Gothenburg Istanbul Milan Paris Moscow Tel AvivBogota

5 Hong Kong Sales Pitch

6 RIGHT PLACE Hong Kong’s Enduring Advantages

7 One Country, Two Systems

8 Half the world’s population within 5 hours’ flying time The world's 3 rd busiest international passenger airport (50.9Mn passengers in 2010) The world’s busiest cargo airport (4.1Mn tonnes of cargo handled in 2010) One of the world’s busiest container ports (23.7Mn TEUs in 2010) Heart of Asia and Gateway to China

9 Forbes Tax Misery Index 2009

10 Source: Forbes Tax Misery Index 2009, Inland Revenue Low and Simple Tax System NO VAT/GST or sales tax NO Capital gains tax NO Withholding tax on dividends and interest NO Estate duty NO Global taxation (offshore income and only HK-sourced income is taxable) NO Wine duty Only imposes three direct taxes - profits, salaries and property

11 World Class ICT - Connecting People Asia’s most innovative economy (3 rd in the world) Global Innovative Index Mobile phone penetration rate 193.2% 7 th most e-ready economy in the world Economist Intelligence Unit 3 rd highest average broadband connection speed US-based network provider Akamai Technologies Household broadband penetration rate 83.1% 9,077 public Wi-Fi access points 2 nd largest exporter of ICT products in the world (US$142 Bn) 3 rd largest importer of ICT products in the world (US$150 Bn)

12 China’s Global Financial Centre The largest off-shore RMB platform Asia’s leading Asset Management hub Home to 70 of the world’s 100 largest banks Asia’s 3 rd largest stock market Stock market capitalization as at end of 2010 - US$2.7 trillion Word’s largest securitized derivatives market in 2009 Global leader in IPOs in 2009 and 2010 Biggest fund raising centre for Mainland companies Pool of financial expertise (15% of CFAs in Asia Pacific – 2 nd largest location in the world, number of CFPs exceeded 4,000 in Hong Kong) Source: HKEx, HKTDC, World Federation of Exchanges, Time Magazine RankingCity 1London 2New York 3Hong Kong 4Singapore 5Shanghai, Tokyo 7Chicago 8Zurich 9Geneva 10Sydney, Toronto The Global Financial Centres Index (GFCI) 9, The Z/Yen Group, March 2011

13 Quality Education and Workforce Home to Asia’s leading universities and business schools –HKU 1 st and HKUST 6 th in Asia, both in the world’s Top 50 Times Higher Education World University Rankings 2010-11 –World’s Top EMBA in 2010: Kellogg - HKUST EMBA Programme –MBA run by HKUST ranked 1 st in Asia and 6 th in the world in 2011 Rankings by the Financial Times Over 50 international schools serving students of more than 30 nationalities _______________________________________________ Dependents have automatic right to work Permanent residency after 7 years

14 Quality of Life

15 RIGHT TIME New Opportunities

16 area: 56,000 sq. km < Ireland, Panama < 1% of China Greater Pearl River Delta Population55.26Mn > Spain, Canada Exports 7 th globallyUS$387Bn > UK, Canada (> 27% of China’s exports) GDP 18 th globallyUS$665Bn > Indonesia, Sweden, Saudi Arabia

17 CEPA – The Free Trade Pact Trade in GoodsTrade in Services CEPA applies to:Over 1,500 categories of products Exported direct from Hong Kong to the Mainland 42 service sectors Benefits:Removes all export dutiesGreater market access: –Lower market entry criteria (capital, trading history etc.) –Can establish WFOE Eligibility:“Made in Hong Kong” products, under specified ‘Rules of Origin’ Companies must have “substantive operations” in HK Applications approved (as at 31 December 2010) : Trade Certificates of Goods 63,899 Service Supplier Certificates 1,461

18 Confirmed Double Taxation Relief Agreements with 20 trading partners: Double Taxation Agreements In negotiations: Czech Republic Denmark Finland India Italy Korea Macau Malaysia Malta Mexico Pakistan Saudi Arabia the United Arab Emirates Austria Belgium Brunei France Hungary Indonesia Ireland Portugal Spain Switzerland Thailand UK Vietnam Japan Kuwait Luxembourg Liechtenstein Mainland of China New Zealand Netherlands

19 Increasing Visitor Arrivals Source: HKTB Million

20 At end 2010, 5,491 Mainland companies have MOFCOM approval to establish subsidiaries in HK with a total investment of US$117.8 bn 1,031 new investment projects approved in 2010, with an investment amount of US$33.7 bn (MOFCOM) RMB deposits in HK increased to RMB 510 billion as of June 2011 Mainland Companies in Hong Kong Source: HKEx and MOFCOM % of Mainland companies listed in HK and their market capitalisation

21 Investment in Infrastructure Lok Ma Chau crossing - 2007 Lok Ma Chau loop joint development – 2009 (studies) Guangzhou – Shenzhen – Hong Kong Express Rail Link - 2014 New Cruise Terminal at Kai Tak - 2014/15 Tuen Mun – Chek Lap Kok Link - 2016 HK – Shenzhen Western Corridor Bridge - 2007 Sha Tin to Central Rail Link - 2015/19 West Kowloon Cultural District – completion of master planning in mid 2011 Hong Kong – Zhuhai – Macao Bridge overall length of 50km - 2015/16 South Island MTR Line - 2015 Project in progress Project completed Total public spending on infrastructure is HK$40 billion (US$5.1 billion) in 2009/10

22 Get in touch ! www.investhk.gov.hk Email: enq@InvestHK.gov.hk Tel: (852) 3107 1000


Download ppt "Attracting and Retaining Foreign Direct Investment Hong Kong: Asia’s Business Capital for China and Beyond Simon Galpin Director General."

Similar presentations


Ads by Google