ENG-2010 — Page 58

16 Constitution and Administration

liaison mechanism. The objective is to ensure that Hong Kong's unique roles and functions in pushing forward national and regional developments during the Five- Year Plan period will be suitably reflected in the relevant plans.

As the province closest to Hong Kong, Guangdong has the most extensive ties with the HKSAR. Since the establishment of the Cross-boundary Liaison System in 1982, the two sides have maintained close liaison to discuss and resolve issues of mutual concern, such as cross-boundary crime and the regulation of the Shenzhen River.

With the promulgation of the 'Outline of the Plan for the Reform and Development of the Pearl River Delta' by the National Development and Reform Commission in January 2009, co-operation between Hong Kong and Guangdong has been elevated to the national strategic level. To translate the macro policies in the outline into concrete measures, Hong Kong and Guangdong signed the Framework Agreement on Hong Kong/Guangdong Co-operation in the presence of the State Leaders in April 2010. This is the first agenda on Hong Kong/Guangdong Co-operation ever endorsed by the State Council. The HKSAR Government and Guangdong Provincial Government are implementing the Framework Agreement, and good progress has been made. In particular, compilation of the regional co-operation plans on 'building a quality living area' and on 'infrastructural construction' has progressed to the final stage.

At the Hong Kong/Guangdong Co-operation Joint Conference held in September 2010, the two sides discussed the way forward and agreed to enhance the overall competitiveness of the region through closer co-operation in various aspects, such as formulation of regional co-operation plans, financial services, commerce and trade, cross-boundary infrastructure, education, medical services, environmental protection and tourism.

Qianhai is one of the major co-operation areas under the Framework Agreement on Hong Kong/Guangdong Co-operation. The Overall Development Plan on Hong Kong/Shenzhen Co-operation on Modern Service Industries in Qianhai Area, as approved by the State Council in August 2010, designates Qianhai as a Hong Kong/ Guangdong modern service industry innovation and co-operation exemplary zone. The Government has maintained close liaison with the Shenzhen Municipal Government on the study and formulation of policies related to development of Qianhai and will actively complement the publicity and promotional work of the Shenzhen authorities to introduce to Hong Kong enterprises, professional sectors and service suppliers the business opportunities arising from the Qianhai Development Plan.

At the annual Hong Kong/Shenzhen Co-operation Meeting held in December 2010, both sides reviewed the substantial progress in various projects such as development of the Lok Ma Chau Loop and new boundary crossing at Liantang/ Heung Yuen Wai, and promotion of cleaner production. The two sides welcomed the expansion of the arrangement to allow non-Guangdong residents ordinarily residing in Shenzhen to apply for Individual Visit endorsements in Shenzhen to visit