Tag Archives: capital

GBA Briefs: 24/6/2019

Foshan MTR Deal: Hong Kong’s MTR Corp has teamed up with Foshan-based property giant, Country Garden, and the local government to set up a smart MRT railway research and development center in the Shunde district. Read more.

Shenzhen Airbus Deal:Shenzhen Eastern General Aviation Company will debut the VIP version of Airbus’ H160 helicopter following an agreement signed at the Paris Air Show. Read more.

Shenzhen Car Quotas:Shenzhen’s new quotas for 40,000 car license plates will be auctioned between June and August, shorter than the originally announced June to December, in response to a central government call to boost vehicle sales in a sluggish market. Read more. 

Guangzhou Airport:Guangzhou’s airport has broken the 10 million annual passenger mark and is rated one of the top 3 in the country together Beijing and Shanghai.Readmore. 

Robots Raising: Shenzhen-based Leju Robotics has raised RMB250 million (US$36.21 million) in a Series B round led by Aplus Capital and an investment vehicle of media firm Shenzhen Press Group. Existing investor Tencent also participated. Read more.

Capital’s Capital Grows:Guangzhou’s balance of deposits and credits (including foreign currency) exceeded RMB10 trillion by the end of May, up 14.6% year-on-year and, ranking first ahead of Beijing, Shanghai, Shenzhen and Tianjin. Read more

Bullet Train Booms:The Hong Kong section of Guangzhou-Shenzhen-Hong Kong Express Rail Link has served over 14 million passengers between the HKSAR and cities in the Mainland since opening last year. Read more

Secure Investment:The security industry in Foshan’s Nanhai district exceeded RMB24 billion in 2018, up nearly 40%, thanks to the construction of science parks, cooperation with Shenzhen and policy support from the government. Foshan is a hub for security and safety equipment manufacturing. Read more

Art Haul: Around RMB 190 million of artwork changed hands over the weekend in Guangzhou, where the 24th Spring Guangzhou Art Fair was held in the Pazhou convention center. A total of 360 art institutions from 38 countries displayed 20,000 paintings, sculptures, installations, videos, new media and other arts. Read more.

Zhuhai brings in 25 Macau firms

Zhuhai has attracted 25 Macau-owned financial enterprises to invest in Hengqin, with a registered capital of RMB11.95 billion, since signing a new cooperation agreement with Macau last year.

Zhuhai launched the Qualified Foreign Limited Partner (QFLP) pilot program last December, becoming the second pilot city in the province after Shenzhen. The program lowered the entry barriers for foreign Hong Kong and Macau investors. The first Macau-owend QFLP pilot enterprise was approved this May.

Moreover, the Guangdong-Macau Cooperation Development Fund was launched in Hengqin, with an initial RMB20 billion investment. It has already provided RMB2 billion to support the Hengqin Science Town. Another RMB50-million fund was set up for the Macau Youth Entrepreneurship Valley, which has 196 Macau-invested projects and 23 enterprises investing RMB 433 million.

Other services launched recently through cooperation with Macau include cross-border vehicle insurance, and the cross-border transfer of non-performing assets. The Zhuhai Financial Working Bureau has drafted nine special programs covering the construction of a cross-border financial cooperation demonstration zone, a trading platform for Chinese herbal medicines, and a “single pass” system for the insurance industry.

Read more in Chinese.

‘Insurance Connect’ getting closer

The much-vaunted “Insurance Connect” – a special channel for the marketing, sales and processing of insurance products between the mainland and Hong Kong – is in progress. So says Moses Cheng Mo-chi, Hong Kong Insurance Authority chairman.

Speaking to a forum in Hong Kong this week, Cheng said it would follow the framework of the Stock Connect and Bond Connect schemes. Hong Kong insurance companies will be allowed to sell products with a “simple structure and high guarantees” under the pilot scheme in the Greater Bay Area.

Regulators are understandably cautious, given recent concerns about capital outflows. To address that, terminal bonuses and policy payouts must be returned to the mainland in their full amount, Cheng said. The initial focus will be on motor vehicle and medical insurance products.

Read more.

Shenzhen launches bond for Lok Ma Chau Loop

Shenzhen Investment Holdings, the city government’s capital arm, has launched a new RMB1 billion special corporate bond focused on building Shenzhen’s side of the Lok Ma Chau Loop, the cross-border zone being developed with Hong Kong. The issuance has a 3+2 year maturity with a coupon rate of 3.72%, according to the Shenzhen Stock Exchange.

The hi-tech cooperation zone straddles the boundary between the two cities. Shenzhen’s portion covers 3 sq km, with a focus on artificial intelligence, smart manufacturing, biology, medicine and life sciences.

Read more (in Chinese).