Chief Executive Donald Tsang says Hong Kong possesses unparalleled strengths and unique features in bridging the Pan-Pearl River Delta and the Association of Southeast Asian Nations.

Speaking with Asean business officials in Changsha, Hunan today, Mr Tsang said Hong Kong's extensive trade connections with the Mainland provinces and Asean countries have facilitated import and export trade between the two regions.

HK's role: Chief Executive Donald Tsang speaks with Asean business officials; meets with Yunnan Governor Qin Guangrong; and speaks to reporters in Changsha.

Noting the city has extensive global connections and can facilitate trade between Asean and PPRD, Mr Tsang said PPRD and Asean enterprises can effectively network with overseas enterprises by setting up offices in Hong Kong.

HK offers best networks

"PPRD enterprises can meet Asean counterparts and Asean enterprises can meet PPRD counterparts for trade, investment and other co-operative efforts. All PPRD provincial capital and Asean regions are well connected by airlines through Hong Kong. Indeed, we provide the best channel for communication and networking between enterprises of the two regions."

Mr Tsang said Hong Kong has a large number of professionals equipped with expertise, language proficiency as well as experience of business opportunities both in PPRD region and Asean. "Not only can they help PPRD enterprises to reach out worldwide, they can also help Asean enterprises enter the huge Mainland market," he added.

The Chief Executive pointed out that Asean and PPRD regions are in different stages of economic development, and their strengths vary, yet they share common features.

"Their differences and similarities in industrial architecture and strengths call for a go-between that has the superior and established expertise for trade - and Hong Kong is the ideal go-between."

More communication needed

"A dialogue with Asean countries and PPRD counterparts at this forum is a start, but in-depth communication and expert knowledge are needed for delivering progress and results. We propose to enhance exchanges at the working level where we can thoroughly discuss the scope and specific initiatives of co-operation. It must go beyond exchanges at the leaders' level but go right down to the working level."

Speaking later at the Fourth PPRD Regional Co-operation & Development Forum, Mr Tsang said the Government will step up efforts to facilitate the business community in exploring opportunities in the PPRD region.

"In the year ahead, we will continue to capitalise on our niche in financial services to facilitate PPRD enterprises to raise capital and go global through Hong Kong.

"In addition, as a follow up to this year's PPRD forum, the HKSAR Government will take forward specific initiatives to enhance information exchange between the relevant sectors in Hong Kong and the PPRD provinces and regions, to facilitate industrial upgrading, restructuring and relocation."

Info exchange platform established

The Government will establish an information exchange platform to address the needs of the relevant sectors in Hong Kong. It will also consolidate information on investment opportunities in the PPRD provinces and regions for dissemination to the business community in Hong Kong.

"We will also assist them in stepping up communication with the local governments. We are considering  organising a seminar later in Hong Kong, for our relevant sectors, Mainland provinces/cities and the HKSAR Government to exchange views on industrial upgrading, restructuring and relocation."

He said the Government will have discussions with PPRD provinces/regions and the local business community after the forum, to work out detailed action plans.

Speaking to reporters, Mr Tsang said he will meet Guangdong Governor Huang Huahua to follow up on the progress of the preparation work for the construction of Hong Kong-Zhuhai-Macau Bridge.

Noting the project offers an opportunity for Hong Kong to take part in West Guangdong's development, Mr Tsang said it will have a positive impact on regional development and capital-raising.

On the issuance of renminbi bonds by Mainland financial institutions in Hong Kong, Mr Tsang urged interested institutions to submit their applications to the People's Bank of China as soon as possible. He hoped the first batch of renminbi bonds could be issued by the end of this month.

No plan to change pegged system

Turning to the linked exchange rate system, he said there is no plan to change the existing arrangement as it can effectively ensure Hong Kong's economic stability.

On universal suffrage, Mr Tsang reiterated that a green paper on constitutional development will be issued this summer and a public discussion on practical issues will be launched afterwards.

He urged Hong Kong people to deal with the matter in a rational way and try to reach a consensus as soon as possible.