Chinese official seeks Hong Kong cooperation over Shanghai FTZ
Published on Jan 13, 2014 10:26 PM
HONG KONG (AFP) - Shanghai's vice mayor on Monday urged cooperation from Hong Kong over China's ambitious new free-trade zone, saying its potential to boost growth will offset any competitive threat to the former British colony.
The FTZ in Shanghai, launched in September, will allow unfettered exchange of China's yuan currency as part of a bold push to reform the world's second largest economy.
But the zone has been seen as a threat to Hong Kong's free economy and its status as a finance hub, with fears that capital might flow out to the FTZ.
Observers have said that it could be a warning by Beijing to dampen political protests in Hong Kong, a semi-autonomous region of China.
To continue reading, log in if you are a subscriber
Enjoy 2 weeks of unlimited digital access to The Straits Times. Get your free access now!