Guangzhou and Hong Kong will sign business agreements worth more than US$1.6 billion at a seminar today signalling closer economic ties between the two places.

The Closer Cooperation for Better Development, Guangzhou-Hong Kong Economic Cooperation Seminar is part of the program of the Tenth Working Meeting of the Hong Kong-Guangdong Co-operation Joint Conference.

The seminar will be another large-scale, high-level exchange between Guangzhou and Hong Kong since 2004.

Led by Guangzhou mayor Zhang Guangning, Guangzhou officials and more than 500 guests and Hong Kong entrepreneurs will take part in the seminar.

Henry Tang, Chief Secretary for Administration of the HKSAR will sign the agreements on behalf of Hong Kong.

"The agreements will enhance cooperation in areas such as real estates, electronics, technology, infrastructure and tourism, with a focus in the service industry," said Tang Hanghao, vice secretary general of Guangzhou Municipal People's Government.

"Using Hong Kong's obvious advantages in the service industry, the agreement will help Guangzhou's processing industry restructure," said Xiao Zhenyu, director general, Bureau of Foreign Trade and Economic Cooperation of Guangzhou Municipality.

"After the seminar in 2004, Hong Kong investment in Guangzhou, which is close to 60 percent of total investment projects, has greatly surpassed investment in the past 20 years," he said.

"There will also be an interactive dialogue session at the seminar where Hong Kong entrepreneurs can directly talk to Guangzhou officials on the issues of concern," he added.

(HK Edition 08/03/2007 page6)