A satellite hall of the Shenzhen Baoan International Airport in Shenzhen, South China's Guangdong Province is seen under construction on Wednesday. The facility is expected to enter service in June 2021. Annual passenger traffic could hit 22 million. Photo: cnsphoto

The Shenzhen financial regulator has worked out 50 measures to push for co-development of the Guangdong-Hong Kong-Macao Greater Bay Area in the financial sector, a move that signals Shenzhen's determination to strengthen its financial industry to support regional development, analysts said.

The move will also bolster Hong Kong's position as a financial hub, they said. 

According to an action plan released recently, Shenzhen will support banking, securities, insurance and other financial institutions in Hong Kong and Macao to expand their operations in Shenzhen, the city in South China's Guangdong Province which borders Hong Kong.

Insurance companies are encouraged to set up headquarters for independent accounting of asset management, research and development, data and information in Shenzhen, with corresponding preferential policies. The city will promote the cross-border yuan reinsurance business.

"The plans for financial support by Shenzhen will enhance connectivity and openness in financial markets in the Greater Bay region and deepen financial cooperation between the Chinese mainland and Hong Kong and Macao, which gives us confidence in the financial and economic prospects in the area," said Benjamin Hung, Executive Director and CEO of Standard Chartered Bank (Hong Kong).

Tian Yun, vice director of the Beijing Economic Operation Association, said that Shenzhen city is a leader in science and technological innovation in China, the development of which requires strong financial support.

"Shenzhen still relies heavily on Hong Kong in terms of the use of international financial support. Given the recent events in Hong Kong, including the prevention and control of the coronavirus epidemic, a lot of financial cooperation has been interrupted in the Greater Bay Area," Tian told the Global Times Thursday.

Tian noted that Shenzhen will seek financial breakthroughs to attract some international financial institutions and strengthen the development of Shenzhen's financial industry to withstand the uncertainties brought by Hong Kong.

The latest example is Standard Chartered, which announced on July 20 that it will build a headquarters for the Greater Bay Area in Guangzhou, capital of Guangdong. Total investment in the new headquarters will reach $40 million, according to a report Standard Chartered sent to the Global Times.

"This investment by Standard Chartered demonstrates our confidence in the continued growth and prosperity of the Greater Bay Area and our long-term commitment to serving our clients," Hung said.

The Guangzhou headquarters is scheduled to begin operations in the third quarter of 2020 and is expected to employ more than 1,600 people by the end of 2023, Standard Chartered said.

"The Greater Bay Area is a dynamic and internationally competitive first-class Bay Area and world-class city cluster, and the demand for banking services is increasing dramatically," said Bill Winters, CEO of the Standard Chartered Group.