HONG KONG (Reuters Breakingviews) – Hong Kong’s rival sister city Shenzhen is vulnerable at the rear. During a visit this week, President Xi Jinping said he would give the tech center more autonomy. Relaxing capital controls and other political preferences will help it meet Xi’s goals of technological self-sufficiency. But even as its financial markets liberalize, its distorted housing bubble is jeopardizing its innovation advantage, allowing other cities on the continent to poach talent and investment.
The site of the country’s first special economic zone in 1980, Shenzhen, located across the economic border with Hong Kong, helped open the People’s Republic to foreign investment and trade. It has since grown from a facilitator of manufacturing exports to a tech hub with a $ 4.9 trillion purse, home to global champions such as drone maker DJI, telecommunications equipment maker Huawei and fintech-cum-gaming star Tencent. As Beijing tries to break free from its dependence on American hardware and software, Shenzhen has a key role to play.
In a speech marking the 40th anniversary of the Shenzhen SEZs, Xi reiterated the government’s promises to give the city more leeway to innovate in key areas such as stock market liberalization, cross-border capital flows and protection of intellectual property. It comes after foreign direct investment growth in Shenzhen fell to 0.2% in 2019 in dollars, from nearly 11% in 2018, according to official data.
Yet even as Beijing puts its weight behind the tech hub, real estate speculators are chasing young entrepreneurs and startups who have made the city a champion of innovation. With prices now around $ 10,000 per square meter, the average home now consumes 46 years of annual income, according to data provider Numbeo. This makes Shenzhen less affordable than Hong Kong in terms of salary. As a result, some companies are moving to cheaper coastal cities like Suzhou, which have their own technology hubs. A quarter of the city’s offices were empty in June, according to Cushman & Wakefield.
The government appears to be aware of the problem. Part of the new policy package includes a clause allowing Shenzhen to convert more neighboring farmland into housing. But the conundrum is that the more special privileges Shenzhen enjoys, the more attractive it is to own real estate.
Reuters Breakingviews is the world’s leading source for financial agenda-setting information. As the Reuters brand for financial commentary, we dissect big business and economic stories as they circulate the world every day. A global team of around 30 correspondents in New York, London, Hong Kong and other major cities provide real-time expert analysis.
Sign up for a free trial of our full service at https://www.breakingviews.com/trial and follow us on Twitter @Breakingviews and to www.breakingviews.com. All opinions expressed are those of the authors.
What Are The Main Benefits Of Comparing Car Insurance Quotes Online
LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos
to request, modification Contact us at Here or [email protected]