Shaanxi inks $29b worth of deals with HK investors

Shaanxi province, in the northwestern part of the mainland, has secured $28.97 billion investment from Hong Kong investors for 115 projects during the second Shaanxi-Guangdong-Hong Kong-Macao Economic Cooperation Week.

Lou Qinjian (center right), executive vice-governor of Shaanxi province, shakes hands with a representative of China Merchants Group after signing a Shaanxi-Hong Kong cooperation deal at the Hong Kong Convention and Exhibition Centre on Friday. [Photo/China Daily]??

In an address at the major contract signing ceremony in Hong Kong on Friday, Dai Zhengshe, director-general of Shaanxi Provincial Department of Commerce, said that between Nov 21-23, a total of 103 projects, including 32 major projects involving $28.02 billion investment, were signed.

In addition, Shaanxi province and Hong Kong companies have also inked letters of intent on another 12 projects involving $950 million investment during the period, Dai added.

He mentioned that a number of other projects are also set to be signed in Macao and Shenzhen on Nov 24-25.

Aside from these projects, the Shaanxi provincial government and China Merchants Group signed a "Comprehensive Strategic Cooperation Framework Agreement" to enhance the cooperation between the two parties.

The Department of Commerce of Shaanxi and The Chinese General Chamber of Commerce also signed a separate frame work agreement to strengthen cooperation related to economic, trade and investment as well as to promote common development.

Shaanxi province, the economic powerhouse in the northwestern part of the Chinese mainland, has brought 210 projects from various industries to this year's economic cooperation week, seeking investment of around $100 billion.

"Shaanxi government has decided to hold a large-scale economic and trade activity in Guangdong, Hong Kong and Macao every year," Dai said, stressing that the economic and trade activities between Shaanxi and Hong Kong will benefit the two regions mutually.

"(The economic activities in Hong Kong) are important for opening up Shaanxi," Dai said, pointing out that, "it is also an important channel for offering Hong Kong enterprises investment opportunities in Shaanxi and, vice versa, for Shaanxi companies to go overseas via the city."

During the three-day Shaanxi-Guangdong-Hong Kong-Macao Economic Cooperation Week, over 20 special promotion fairs were held in the city achieving fruitful results.

The signed contracts involved various industries ranging from sewage treatment, cultural tourism to modern logistics and super markets.

Dai also said that during last year's Shaanxi-Hong Kong Investment and Trade Week, the two regions had signed 66 major projects with total investment of $21.3 billion. By now, 56 of them had already started construction.

"The contract compliance rate (for last year's projects) has reached 85.3 percent," said Dai, adding that the local government is actively promoting the implementation of the projects.

Hong Kong has always been Shaanxi's largest overseas investment source, and by the end of 2011, Hong Kong enterprises had invested around 2,300 projects in Shaanxi, with contract investment of $11 billion; the actual use of investment from Hong Kong was $6.6 billion, accounting for 45 percent of Shaanxi's total actual use of foreign investment.

sophiehe@chinadailyhk.com