GBA critical to promising opportunities

The Guangdong-Hong Kong-Macao Greater Bay Area (GBA) is key to investors who seek promising investment opportunities in China, according to Ben Powell, chief investment strategist at BlackRock, the world’s largest asset manager.

“Understanding the shifts and dynamics of the GBA is key to identifying and capitalizing on the most promising investment opportunities in China. The GBA stands out as a region of immense potential, offering a unique combination of innovation, technology and strategic location,” Powell said during his speech via video at the Southern International Forum of Finance and Economics 2023 held in Guangzhou on Wednesday.

The first shipment of imported South African feed corn is unloaded from the ship for inspection and quarantine at a port in Dongguan, one of the nine Guangdong cities in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA), in this file photo. Ben Powell, chief investment strategist at BlackRock, said the GBA is key to investors who seek promising investment opportunities in China. Xinhua

China’s investment landscape is a blend of traditional strengths and new growth areas, according to Powell.

He specifically suggested that the consumer market’s evolution, robust financial sector and strategic export initiatives present a diverse range of investment opportunities.

Powell said that the advanced logistics and trade infrastructure have made the GBA an ideal base for export-oriented companies, providing investors with the opportunity to participate in China’s export strategy.

In 2022, the total foreign trade value of the nine mainland cities in the GBA, together with that of Hong Kong and Macao combined, reached US$2.5 trillion, customs data showed.

The GBA has become the country’s gateway for exports to the Association of Southeast Asian Nations (ASEAN) and Middle Eastern countries.

Take Shenzhen, positioned as the “core engine” of the GBA, as an example. From January to April this year, Shenzhen’s trade with ASEAN countries reached 163.90 billion yuan (US$22.90 billion), up by 6.7% year on year.

Also, official data showed that in the first 10 months of this year, Shenzhen’s imports and exports to countries participating in the Belt and Road Initiative reached a record high of 1.06 trillion yuan, marking a 10.4% increase year on year.