“For trade with China, come to Hong Kong”

Hong Kong will celebrate the tenth anniversary of the reunification with China this year but will continue as a capitalist economy with an independent judiciary, police, customs and taxes. This unique “One Country, Two Systems” concept is being promoted worldwide in an effort to attract businesses, such as those in Cyprus, to set up shop in Hong Kong as the easiest way to enter the Chinese market.

Ambassador Duncan W. Pescod, who heads the Hong Kong SAR office in Brussels, was on a fact-finding mission to Cyprus recently, and spoke to the Financial Mirror about Hong Kong’s remarkable trade growth, its free trade pact with China and how Hong Kong as a brand is being developed into Asia’s world city and China’s pre-eminent international financial centre.

On the other hand, he believes that Cyprus’ low level of direct trade with Hong Kong can be complemented with transit trade, either to and from China or westbound through Cyprus to the rest of the enlarged European Union.

“There is better awareness of each other now, as well as some interesting parallels,” he said.

Both Cyprus and Hong Kong have services-driven economies with a focus on the financial sector and tourism, while other similarities include favourable tax rates and a common legal system.

 

FULL INTERVIEW TO APPEAR ON THURSDAY, 31/5/2007