China intensifying financial attack on Hong Kong

Part of China’s push to promote its FTZs.

China is continuing to challenge Hong Kong as the main offshore centre for the renminbi with a new move to use international law to get its free trade zones up and running as centers for renminbi trading.

News reports said China’s leaders have been discussing adopting an international legal system in the FTZs for the first time to help draw foreign companies. Bankers said such a move would go a long way to make FTZs more competitive against Hong Kong.

The city remains the only notable success among China's many attempts to allow the closely managed renminbi to trade more freely.

"The authorities recognize that providing a robust legal framework and infrastructure will attract global companies," said a Hong Kong government official. "But agreement on this is far from uniform."