China improving financial cooperation with Hong Kong

Qianhai pilot zone in Shenzhen is meant to achieve this.

Zhang Ping, head of the National Development and Reform Commission, China's top economic planning agency, said the mainland is implementing most of the measures aimed at boosting mainland-Hong Kong cooperation in Qianhai.

"The construction and opening up of the Qianhai pilot zone is being advanced smoothly," Zhang said.

Only six of the 22 measures regarding the establishment of the zone need further discussion. Among these are issues related to lawyers' practices since the judicial systems of the mainland and Hong Kong are different.

"We are hopeful of coming up with plans to solve those problems in the first half of this year," he added.

Qianhai, which occupies 15 square kilometers of reclaimed land in Qianhai Bay, is considered vital for the mainland's financial growth. Over 180 financial enterprises have registered in Qianhai by November 2012, accounting for 76% of all companies registered.

Qianhai will take on reform measures in finance, taxation, legal system, talents, education and medical treatment, and telecommunications. Efforts will be made to encourage financial innovation in Qianhai, including preparations for a cross-border loan issuance experiment and the establishment of a trial zone to run cross-border renminbi businesses.