The regulations for promoting the development of the Guangdong-Macao In-Depth Cooperation Zone in Hengqin was released on February 8.
Experts from Macau and Hong Kong said that the regulations will inject great impetus into the non-gaming industries of Macau and the development of new infrastructure will benefit both Hengqin and Macau in an interview with GDToday.
Covering a total of eight chapters and 66 articles, the regulations focus on boosting the development of key industries, facilitating Macau residents’ livelihood, promoting the integrated development of Hengqin and Macau and ensuring legal protections.
Macau’s non-gaming industries
The regulations detailed the supporting measures for key industries that will help Macau achieve an adequate level of economic diversification.
“Macau is at a crossroads to make an economic transformation. With the release of these regulations, Hengqin will further extend its industrial chain, which will in turn support Macau’s economic transformation and development,” said Liu Chengkun, director of the Institute for Sustainable Development in Macau University of Science and Technology.
The key industries mentioned in the regulations, such as, sci-tech R&D, cultural and tourism, conventions and exhibitions, are very much in line with a strategy put forward by Macau.
According to the SAR’s policy address for the fiscal year of 2023, it will achieve economic diversification by building Macau into a world tourism and leisure center and continuously advance the development of major industries of big health, modern finance, high technologies, conventions and exhibitions, as well as culture and sports.
The ultimate goal is to see that the non-gaming industries account for around 60 percent of Macau’s GDP and build a sustainable industrial structure that fits Macau’s reality.
Liu stressed that the industrial planning of the Cooperation Zone will expand development space and provide industrial matchmaking for Macau.
healthy competition
Like Liu, another Macau expert also thinks that the regulations will invigorate the Cooperation Zone and the SAR.
There are two innovative mechanisms highlighted in the regulations. One is to allow relevant institutions and individuals to bear no responsibilities if a reform failed, and the other is to establish long-term mechanism to delegate powers so that the Zone has the initiative to conduct reform and develop to the greatest extent.
“The regulations will have a ‘catfish effect’, which means an innovative and high-efficient Cooperation Zone will make Macau review its own development, thereby make corresponding improvements,” said Tong Kai Chung, president of Macao Institute of Management and chairman of Macao Political Economy Research Association.
With greater autonomy, he believed that the Cooperation Zone will better shoulder the responsibility of taking the lead in reform, opening-up, and innovation of the Guangdong-Hong Kong-Macao Greater Bay Area or even the whole country.
New infrastructure
During the 14thFive-year Plan period (2021-2025), the new infrastructure related to the digital economy and energy industry will become the new underpinning and driver for the comprehensive strategic transformation of China’s economy.
Information technology and big data hold the key to the building of a smart city and efficient urban administration service platform. This is not emphasized in the regulations but also echoed by an economist from Hong Kong.
“The goal of the Cooperation Zone should not just be a smart city, but a cognitive city by resorting to the new infrastructure,” said Liang Haiming, chairman and chief economist of the China Silk Road iValley Research Institute.
Macau businesses, especially the small and medium-sized high-tech enterprises, can join in the development of new infrastructure so as to enjoy the benefits from it.
“The regulations will help Hengqin make full use of the development of new infrastructure and lay a solid foundation for Hengqin to become a cognitive city in the future,” said Liang.
In the meantime, the new infrastructure will support the Cooperation Zone in upgrading its trade supply chain system and cross-border payments services, setting a good example for urban development in the world. MDT/GDToday
