Summary:

The Chinese government officially launched the integration of the Greater Bay Area in 2017, with the aim of building Hong Kong, Macau and nine mainland cities into a competitive urban agglomeration. With the advancement of this strategy, inward FDI flows increased to other GBA cities as well.  Post the Covid-19 pandemic, the recovery in FDI flows to GBA is driven by cities other than Hong Kong.

Highlights:

• Prior to 2017, FDI to the region was concentrated in Hong Kong. From the perspective of type, most of them are new projects, while there are few co-location, expansion and relocation projects.
• After 2017, the rapid growth of FDI to cities other than Hong Kong has made the distribution of FDI in the region more balanced, with co-location projects playing a significant role.

Article By Jingwei ZHOU

Graphic By Yixuan GE