Extended Support Network

China is not only concerned, focused and pre-occupied with the needs on the home front during the global financial and economic meltdown, but the needs of Hong Kong, Macau and Taiwan. China liberalized yuan trade rules to bolster Hong Kong’s economy during the global meltdown. China adopted a 14-point plan which allows companies to conduct cross-border trade between the mainland and Hong Kong using yuan, set up currency swap facility, encourage mainland financial institutions to develop international services via Hong Kong, support more mainland firms listing in Hong, encourage the early start of the Hong Kong-Macau-Zhuhai bridge, press ahead with Hong Kong-Shenzhen airport and Hong Kong-Guangzhou express rail links, foster development of a world-class metropolis” in Pearl River Delta, support Hong Kong companies building next Shenzhen metro line, support Hong Kong developing border zone, facilitate co-ordination between delta container ports, raise export tax rebates, and take other steps to help Hong Kong firms on the mainland, allow out-of-towners living in Shenzhen to get visas for Hong Kong there rather than in home provinces, consider opening mainland market to more local service firms and secure stable food, water and fuel supplies from China to Hong Kong.

China pledged 130 billion yuan in loans to Taiwanese businesses operating on the mainland as part of an economic co-operation package to help the island weather the global financial crisis. Taiwanese firms will also be allowed to work on mainland projects under its stimulus plan. China also agreed to buy $2 billion worth of flat-screen displays made on the island. Beijing also pledged to do its utmost to provide whatever aid Taiwan needed during the global economic crisis.