InvestHK woos SA business to expand into Asia with Hong Kong as gateway
InvestHK in SA to make the investment case for local firms in Hong Kong.
As Africa and China’s economies become more inter-linked, a representative of the Hong Kong government’s foreign direct investment agency is visiting the continent to bolster business ties.
InvestHK is promoting Hong Kong as a strategic gateway for African enterprises to expand into Asia.
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Loretta Lee, Associate Director-General of Investment Promotion, is in Johannesburg on four-day visit to meet with representatives from the local finance chambers, financial institutions, banks, fintech interests, along with business and professional services sectors.
From there she’ll move on to Kigali where she’ll attend the Africa CEO Forum taking place in the Rwandan capital.
In line with the advancement of its National 15th Five-Year Plan, Hong Kong is leveraging its status as a “super connector” and “super value-adder” to support national development, says InvestHK.
And Africa is at the heart of the next chapter of global growth, Lee says, in conversation with Stephen Grootes.
She cites the continent’s dynamic young population, abundant resources, and also rapid digital and industrial transformation.
“It is moving to the core of global supply chains and capital flows, so we see a lot of African corporates and industry increasigly looking east for new markets, partners and capital… so Hong Kong can be a meaningful and long-term partner in that journey.”
Lee describes Hong Kong as “the world’s most efficient gateway” connecting Africa, the Chinese mainland and the wider Asia-Pacific.
She notes that African enterprises establishing a presence in this special administrative region of China can benefit from a globally recognised common law system and Asia’s most competitive tax regime.
“Most recently, Hong Kong has further sharpened its competitive edge by announcing a halve in profits tax to 8.25 % from the standard 16.5% for qualifying physical commodity traders.”
“By combining this fiscal incentive with the city’s status as the world’s pre-eminent offshore Renminbi hub, Hong Kong offers African commodities exporters a high-liquidity, efficient gateway to Asian markets.”
Scroll up to the audio player to hear Lee make the case for African companies to invest in Hong Kong