In the wake of the Qianhai Cooperative Forum 2019, which was held at the weekend, the city has released statistics showing how fast the special economic zone is ramping up investments and output.
Official data shows utilized foreign direct investment in Qianhai jumped 12.1% to $2.533 billion in the first six months. Hong Kong companies were the most aggressive, and now account for nearly 90% of the zone’s total utilized FDI of US22 billion. Their utilized FDI was 60% of Shenzhen’s and 20% of the entire province’s during the first half.
Output by companies registered here, meanwhile, rose 19.3%, while tax revenues jumped 23.7%.
Nearly 12,000 Hong Kong enterprises have registered in the zone, with registered capital of over RMB 1.2 trillion.
Indeed, the zone is starting to look more and more like an extension of Hong Kong. Although vacancy rates are quite high at the moment, this is expected to change in the coming months as more Hong Kong companies start to move staff into Qianhai. (Read our backgrounder on the zone here.)
To date, Qianhai’s government has transferred 18 plots of land to Hong Kong enterprises, covering 37.26 hectares, accounting for 45.9% of the total transferred commercial land. This translates to a total construction area of about 2.93 million sqm, accounting for 48.1% of total transferred construction land.
Startups seem to be attracted, too. Qianhai’s Shenzhen-Hong Kong Youth Dream Workshop incubated 32 teams in the first half of the year, bringing the total to 388. Half were from Hong Kong, Macau, Taiwan and other countries. More than half of the startup projects successfully obtained financing, exceeding RMB 1.5 billion in total.