On the afternoon of the next day, Li Guangyu was invited by the Hong Kong Monetary Authority to attend the meeting as a special guest at the Hong Kong Financial Conference.
Xiangjiang is currently at a critical moment. The stock market is plummeting and the property market is about to collapse. Most of the funds of major banks in Xiangjiang are flowing into these two areas. If one is not handled carefully, Xiangjiang will develop rapidly in recent years.
It will stagnate, or even go backwards.
The Xiangjiang government obviously does not want such a situation to occur. This time it convened the heads of major financial institutions in Xiangjiang to attend the meeting, hoping that everyone can maintain the financial stability of Xiangjiang.
At the same time, we hope that everyone can support Xiangjiang's industry and commerce. With real estate facing huge pressure, major financial institutions must reduce financing for the real estate industry and divert more funds to other industries and manufacturing industries.
The heads of financial institutions stationed in Hong Kong were all invited to attend the meeting. Special guests also included Henry Kaiser, Crorance, Kadoorie, Wooden, Swire, Pao Yukang and Xu Shixun.
At the meeting, McBurney Deshawn, director of the Xiangjiang Monetary Authority, said: Thank you very much for coming to attend this meeting. Xiangjiang is currently facing severe challenges. Today’s meeting aims to promote everyone’s exchanges, and
Solicit everyone's views and opinions on the financial community in Xiangjiang and contribute to the development and financial stability of Xiangjiang.
McBurney Deshawn then described the current situation facing Xiangjiang and put forward his own views on banks' excessive inflow of funds into real estate.
Major banks are required to hold on to their own funds and lean towards the real estate industry at this time, and at the same time clean up the bank's liabilities. The Financial Bureau will supervise each bank in the near future to prevent banks from becoming insolvent.
The heads of HSBC, Standard Chartered and Tianyu Financial Group, currently the three largest companies in Hong Kong, made speeches one after another, focusing on supervising the real estate groups that have made loans, paying attention to market trends at all times, and preventing the occurrence of large bad debts.
These giants are not too worried. They have enough financial resources to cope with this crisis. Many small and medium-sized financial institutions are under great pressure.
Because they want to compete with these large financial groups for business, they have relaxed a lot of loan conditions, and many of their loan targets are small and medium-sized real estate companies. In the face of this upcoming storm, these will definitely be the first to sink.
Real estate company.
Now the Monetary Authority has strengthened its supervision on them at the same time, which puts them under greater pressure. As long as companies and banks are exposed to thunder, they will face takeover by the Monetary Authority and bankruptcy liquidation.
The heads of these small and medium-sized financial institutions are not stupid. They know very well that the current property market cannot hold on. It is not that they do not understand the vacancy rate in the Hong Kong property market.
The main reason why housing prices have been maintained until now is that many people believe that the myth of the rising property market will not be shattered, and they do not think that they will be the last to take over.
However, a piece of news came out a few days ago, which instantly sent the property market into a cold winter. In these days, whether it is Central or Kowloon, whether it is the urban area or the remote Tin Shui Wai area, houses and shops are constantly going up. It is a pity that at present
There are more and more people selling, and there are almost no people buying.
Nowadays, these small and medium-sized financial institutions have no funds to support the development of Xiangjiang's industry and commerce. They only hope to recover the money they have released as soon as possible to prevent banks and companies from having insufficient cash flow and suffering from runs by the public.
After the representatives of the heads of these financial institutions spoke, Li Guangyu, a special guest, also expressed some of his own views.
Li Guangyu said: Our development in Xiangjiang over the years has been hard-won. It is precisely with so many financial institutions stationed in Xiangjiang that Xiangjiang has become the third largest financial center in the world. We must be full of confidence in the future of Xiangjiang. We must believe
The current difficulties are only temporary, and our development will only get better and better in the future.
The most important thing for major financial institutions in Hong Kong is to clean up their bad debts as soon as possible, especially those with large amounts of loans. They must follow up and supervise to prevent them from becoming bad debts for banks and institutions. Financial institutions are very important to Hong Kong. Only if everyone is stable
Only then can all walks of life in Hong Kong develop stably.
Everyone here has selective agreement with some of Li Guangyu’s views, especially those on the property market. The Li Group and its interest groups ran away as early as last year and successfully avoided the impact of the property market crash on them.
influence.
At the beginning of this year, the financial group to which the Li Group belongs and its allies also strengthened their supervision of real estate loans and raised the threshold for loans, leaving them with very little pressure in this regard.
As for McBurney Deshawn's proposal to support Hong Kong's industry and commerce and provide loans as much as possible to this aspect, not many representatives at the meeting mentioned it.
Currently, all major families in Xiangjiang are either in the financial industry or the real estate industry. Even families and groups that focus on other industries also have real estate companies in their hands.
The huge profits from real estate have caused various families in Xiangjiang to invest more energy into the real estate industry. The profit from developing a real estate is equivalent to the profit from other industries for five to ten years. They are obviously more willing to invest in it.
Especially among the upper-class families in Xiangjiang, no one does not own a real estate company. Even though the Huo family is restricted by the Xiangjiang government in this regard, they are also engaged in the construction materials industry of the real estate industry.
These representatives are all representatives of the largest financial institutions in Xiangjiang. Their loans are mostly from these large families, so there is no way to talk about this aspect.
The current low-end manufacturing industry in Xiangjiang is limited by labor costs. Many companies are currently relocating to the mainland and Taiwan. However, there are not enough talents to support the mid-to-high-end manufacturing industry. Currently, Xiangjiang only has Xiangjiang University and Xiangjiang University, which is not enough.
To meet the needs of high-tech development in Hong Kong.
As a result, all major families have entered the real estate market, and the hollowing out of Xiangjiang's industry has slowly begun to appear.
Not to mention anything else, the Li Consortium has not recruited people in the Xiangjiang Industrial Park for two years. Here, Li Guangyu will slowly eliminate these low-end manufacturing industries and start to move into the mid-to-high end.
Li Guangyu has no intention of spending extra money to support the employees of the industrial park. Pengcheng is so close to Xiangjiang, and the labor cost is many times lower than that of Xiangjiang. Naturally, he would prefer to produce in Pengcheng.
McBurney Deshawn is also aware of the current situation in Xiangjiang, but Governor Youde hopes that financial institutions can tilt towards the manufacturing industry and promote the industrial upgrading of these companies to ensure the sustainable development of Xiangjiang.
During MacLehose's administration, after initial difficulties, Hong Kong's economy maintained rapid development for seven years, making Hong Kong, South Korea, and Singapore known as the Four Asian Tigers.
Currently, the other three regions are developing high-tech industries with semiconductors as the core. Youde also hopes that Xiangjiang can keep up with the pace of these regions so that Xiangjiang's economy can diversify.
It's a pity that although Youde's current ideas are good, he is afraid that he will not have such ideas in two years. At that time, England will only choose to leave a series of problems to the mainland, and will not estimate the future development of Xiangjiang.