TNAG-1457-FCO40-1981-Relations-between-Hong-Kong-and-China-1986 — Page 117

F

12N

(ii)

21

Shanghai's total foreign investment in

joint ventures. During the period January to June 1985, 28 Chinese-foreign joint

ventures involving US$150 million of

foreign investment were set up in

Shanghai. Of these, 16 were launched with

Hong Kong firms, six with US firms and six

with Japanese firms (Table 13);

Guangzhou: from January to May 1985, the

city signed 131 agreements with-foreign-

investors with a total pledged investment of US$224 million, compared with US$210

million for the whole of 1984. More than

70% of the city's foreign investment came

from Hong Kong;

(iii) Shenzhen: Hong Kong interests appeared to dominate in the Shenzhen special economic

zone. Between 1979 and October 1985, Shenzhen signed 4 300 agreements with

total pledged investments of US$3.1

billion (the realised value could be

substantially lower). It is estimated

(iv)

that about 80% of the investment came from

Hong Kong; and

Yunnan: 276 contracts worth US$290 million

were secured in a 12-day investment

symposium held in Hong Kong in November. About 60% of the contracts were signed

with Hong Kong firms. The biggest

investment is to come from Tian

Development Co. Ltd. for the building of a US$12 million hotel in Kunming City.

CONFIDENTIAL # 3