Global Economy

1.Factors contributing to HK becoming an international financial centre

  1. effects on HK economy and people's livehood
  1. Importance of HK being an international financial centre, the challenges it faces and the solution
  1. HK's sustainable economic development
  1. Good investment envionment
  1. The mainland reform and opening up
  1. Good communication facilities
  1. situated at a favourable time zone
  1. Plenty of financial professionals

international time zone: North Amercia and Europe.

It can bridge the operation between New York and London

Investors can carry out transactions through HK's financial market continuously.

HK bridge the industrial and commercial trade between the mainland and foreign countries.

promoted the development of Hong Kong financial industry.

Legal and financial system.

Low tax rates a simple tax system and the absence of foreign exchange control attract investors to carry out financial activities and investment.

corruption rate is rare in HK

Enterprise can operate in a fair envionment.

Good communication facilities and information spread rapidly.

investors can get financial information easily to make investment decisions.

edcational level rises.

plenty of financial industry with plenty of professionals

helps the development of HK financail industry.

Financial industry

banking, insurnace and other financial services. HK major activies

Effect

Positive

negative

  1. support other industry
  1. provide employment oppurtunities
  1. promote enconomic growth

Dvelopment of financial industry contributes greatly.

Financial industry beomes more important than b4

provide financial services: loan, currency exchange, remittance, insurance

Support and promote the development of HK

Ratio of people working in the financial industry has shown an upward trend.

  1. economic restructuring

The demand for highly educated and skilled labour increases and the wages of these workers become much higher than those workers and less educated workers.

financial industry is hit by external factors.

manufacturing workers become unemployed or can only switch to low-end service industry.

bc lack related skills.

Lower wages and living standard

The income gap has become widened.

labour market will be negatively affected.

a pillar of the HK economy

affect HK economic development and market greatly

Hk should strengthen its position inspite of facing challenges and competition

2.develop a knowledge- based economy to raise competitiveness.

1.cooperate with mainland economically

3.opportunities to maintain its economic growth

  1. cross-border transportation networks e.g. Hong-Kong-Zhuhai-Macao Bridge.
  1. Greater Bay Area
  1. Economic cooperation and trde between economies worldwide and the mainland.

promote flow of people

shopping, attract tourists, develop ecotourism and cultural tourism.

provide mainland with professional services

  1. medicine

3.testing and certification

1.education

4.envionmental protection

  1. innovation and technology

6.cultural and creative industry

hk should examine the vision and role of higher education, the development trends, quality assurance and the research support strategy.

reposition its higher education and formulate a long term development.

provide land for building hospitals to train medical practitioners

set the standards for commonly used chinese herbal medicines

implement policies to enhance professional standards to increase training oppurtunities.

study how to promote industry in HK, the mainland and overseas

extend the scope of the Cleaner Production Partnership Programme with Guangdong in treating and reducing sewage discharge.

Improve the envionmental region and increse the competitiveness

allocate fund to encourage local enterprises

applied R and D projects

Create HK will continue to implement measures to support the development of the industry.

international economy

national economy

regional economy

Emerging economies, trade between the mainland and east or southeast asian countries and demand for services increase.

Encourages internationalisation of Renminbi and state-owned enterprises

strengthen the systems and infrastructure in these areas, amd nurture more related talents.

promote Renminbi business in HK. Helping mainland enterprises find business opportunities using international connections

High potential of Pearl River Delta.

Strengthen the cooperation with that region and expand hk enterprises' operation and market.

use production resources efficiently to lower production costs and enchance its competitiveness.