Hong Kong: Financial gateway to China

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Europe

‍By CGTN's Laura Schmitt, Fan Lu

With “The Changing Face of Hong Kong”, Rediscovering China takes a look at the different facets of Hong Kong, from its famous port to its influential banking sector, from the remnants of its manufacturing sector to the emergence of an ambitious start-up field.

In Hong Kong, it’s all about the money. This leading financial hub in Asia is home to one of the highest concentrations of banking institutions in the world. Over 70 of the world’s top international banks have operations in this city. It ranks sixth in the global competitiveness study by the World Economic Forum, and is only surpassed by Singapore in the region.

Considering Hong Kong’s well-established reputation as a finance centre, it may come as a surprise that less than 6 percent of the city’s workforce actually work in finance and insurance. Even fewer dare to take on the risky business of investment banking. One of them is Sean Xiang.

The 32-year-old has made Hong Kong his place of business for the past seven years. Originally from Anhui province, his journey to Hong Kong took him via the Nanjing University of Finance and Economics, and then to Beijing.

When JP Morgan offered him a position in Hong Kong in 2010, it was the fulfilment of a dream a decade in the making.

“Being in Hefei for 18 years and having not really lived in the mega cities like Beijing or Shanghai, I still clearly remember that I was standing in the center, the American banking tower in that direction, and everyone seems so busy, discussing with each other deals and transactions. At that time I feel a little bit lonely, I feel a little bit afraid, and I think I want to be part of them.”

Sean Xiang’s success story is one of many in Hong Kong’s finance industry. Nicknamed the Wall Street of China, a multitude of factors are said to have contributed to the city’s high competitiveness in the finance sector.

The Hong Kong Stock Exchange. /VCG Photo

Xiang believes the city’s world-leading position in the field is down to its gateway function and close connection to the Chinese mainland.

“I think the reason for the rise of Hong Kong as a financial center around the globe is that it has fully taken advantage of the rise of China. Because of the open-door policy, Hong Kong really had the opportunity to help China raise capital from around the globe, and also help Chinese companies go global,” he says.

Rediscovering China is a 30-minute feature programme offering in-depth reports on the major issues facing China today. It airs on Sunday at 10.30 a.m. BJT (02.30 GMT), with a rebroadcast at 11.30 p.m. (15.30 GMT), as well as on Monday at 8.30 a.m. (00.30 GMT) and Friday at 1.30 p.m. (05.30 GMT).

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