Dominant Gateway to China

The growth and gradual opening-up of China offer unmissable opportunities. China is now the world's second largest economy and is expected to make up 20% of the world economy by 2030*. International investment in China is still low but rising. Meanwhile, the "going out" of Chinese firms and Chinese investors' demand for overseas investment will bring new opportunities.

With its strengths as an international financial centre and its unique advantage of having close links with Mainland China, Hong Kong has been the dominant gateway to Mainland China and the global hub for offshore renminbi business. Hong Kong originates and intermediates two-thirds of China’s inward foreign direct investment (FDI) and outward direct investment (ODI) as well as most financial investments. It is the best place to capture China opportunities.

* According to PwC estimates

Unique Access Channels to and from China

New channels have been opened to enhance connectivity between Hong Kong and Mainland China. Cases in point are Qualified Foreign Institutional Investor (QFII), Renminbi Qualified Foreign Institutional Investor (RQFII), Mutual Recognition of Funds, Shanghai-Hong Kong Stock Connect, Shenzhen-Hong Kong Stock Connect, Northbound and Southbound Trading under Bond Connect, Cross-boundary Wealth Management Connect and Swap Connect.

Largest Offshore Renminbi Centre

Thanks to its deep pool of liquidity, efficient financial infrastructure and multitude of cross-border portfolio flow channels, Hong Kong is the largest and most important global offshore renminbi (RMB) business hub, offering a wide range of RMB financial services, including clearing and settlement, financing, asset management, risk management, etc.

The highly efficient and robust market infrastructure in Hong Kong, including the RMB Real Time Gross Settlement (RTGS) system, allows market participants from all over the world to handle RMB transactions with Mainland China and among offshore markets.

Deepest RMB Liquidity Pool	Hong Kong has the world’s deepest RMB liquidity pool outside Mainland China of around RMB1 trillion, supporting the vibrant offshore RMB business.
Most Important Offshore RMB Clearing Hub	Over 70% of the world’s offshore RMB payments are processed by Hong Kong consistently, according to SWIFT statistics. Our RMB RTGS system facilitates banks from all over the world to make RMB payments and plays a critical role in facilitating RMB cross-border payments.
Major RMB FX Centre	Hong Kong sustains its top position in offshore RMB FX activities, according to the Triennial Survey of Foreign Exchange and Derivatives Market Turnover conducted by the Bank for International Settlements.
Vibrant RMB financing activities	Hong Kong is an important RMB financing centre, hosting the largest offshore RMB bond market with issuers ranging from the Ministry of Finance of China to financial institutions and corporates from different parts of the world. RMB bank lending business is also thriving.
Unparalleled Access to the Mainland Markets	Hong Kong enjoys unique access channels for cross-border portfolio investment flows to and from China, including Stock Connect, Bond Connect and the Mutual Recognition of Funds arrangement. These channels enable overseas investors to access the Mainland capital markets through connections established between the Mainland and Hong Kong markets.

Guangdong-Hong Kong-Macao Bay Area (or Greater Bay Area)

The Greater Bay Area (GBA) comprises Hong Kong, Macao and nine Mainland cities along the Pearl River Delta. The combined GDP of the region amounted to over US$1.9 trillion with a total population of over 86 million. The initiative aims to ease the flow of factors of production, including people, goods, and money, across the Area with a view to fostering deeper economic and financial collaboration. GBA boasts the economically most vibrant and outward looking region in China with a budding innovative technology sector and Hong Kong as a mature and leading international financial centre. There is a lot of potential for Hong Kong's financial services sector to take advantage of the vast market and pilot liberalisation initiatives while servicing the burgeoning economic development in the Area.

Guangdong-Hong Kong-Macao Bay Area (or Greater Bay Area)