The Pearl River Delta made Hong Kong richer 40 years ago – the Greater Bay Area is a chance to repeat history
- Victor Fung says Hong Kong should analyse how integration under the Greater Bay Area can lift its economy, much as interaction with the Pearl River Delta gave it a boost 40 years ago
This is a multi-generational opportunity. Leveraging it will be crucial to Hong Kong’s future competitiveness and our people’s well-being. But, first, we need to recognise the new global landscape, including our mental picture of the Pearl River Delta, which was once called “the world’s factory”.
The keys to this network’s success are the complementary differences between individual nodes. Hong Kong can thus help the whole network, and itself, by enhancing its distinctive role as the region’s most international city, backed by our rule of law, free flows of information and capital, plus other significant underpinnings of “one country, two systems”.
While such progress is encouraging, creating the Greater Bay Area of the future is a more complex and collaborative undertaking than participating in the Pearl River Delta’s opening 40 years ago, hence there is a need for in-depth analysis from a business standpoint. With this in mind, a group of leading Hong Kong firms commissioned an independent study in May last year. Conducted under the auspices of the 2022 Foundation, the study is nearing completion. In addition to sharpening our own businesses’ bay area strategies, we shall make the findings public.
Clearly, a number of obstacles could delay or hinder the region’s ability to reach its full potential through greater economic interaction. Many of these are the natural result of working with 11 cities, three provincial-level jurisdictions, three customs zones and three WTO members. Constant policy innovation involving all “nodes” will be needed to achieve freer flows across bay area borders boundaries while taking full advantage of “one country, two systems”.
On a practical level, our study will show that there is a need to enhance business-to-business cooperation within the region, establish bay area institutions and organisations, create regional development initiatives and increase understanding of the region among all 70 million inhabitants. We will offer specific proposals for these and other ideas.
A generation ago, young and agile Hong Kong entrepreneurs seized the moment when the Pearl River Delta opened for business. Now, an even bigger opportunity is unfolding that has the potential to lift up lives and prospects for future generations across the Greater Bay Area.
Dr Victor K. Fung is chairman of the 2022 Foundation, and was chairman of the Greater Pearl River Delta Business Council between 2004 and 2013