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News release


12 October 2007

London's Lord Mayor calls for end to East Asian trade barriers

Lord Mayor John Stuttard will be the first City chief to meet China’s new political leadership as he make his second official visit to China, Hong Kong and Korea from 16 Oct to 28 Oct.

Accompanied by a strong City delegation, the Lord Mayor’s visit will take place during China’s 17th National Party Congress, held every five years. The Congress will see changes to the ruling elite, with the appointment and reshuffling of the senior leaders who will shape China’s political and economic scene for the next five years.

Lord Mayor Stuttard, whose business party totals over 50 senior representatives of UK-based financial services firms, will meet key officials in regulating and promoting financial services, alongside political leaders in Shanghai, Nanjing, Hong Kong, Beijing, Tianjin and Seoul.

At the top of the agenda in China, where Stuttard spent five years of his working life as former Chairman of PwC, will be the removal of barriers to bilateral trade and investment and an end to the restrictions on Chinese companies listing overseas. Lord Mayor John Stuttard said:

“The UK has the most open markets in the world which led to its success as No. 1 financial centre in the world. By contrast, there are major obstacles for licensing foreign companies in China, which includes the registration of UK non-profit-making organisations and chartered bodies. Chinese leaders must recognise that these professional bodies are crucial in providing training to fill the current shortage of bilingual banking and accountancy talent in China.”

The recent relaxation on the Qualified Domestic Institutional Investor (QDII) scheme allows a greater number of Chinese financial institutions to invest even more client money overseas. This came as the same time as the establishment of China Investment Corporation (CIC) which is set up to invest China’s swelling $1.4-trillion-dollar foreign exchange reserve. The Lord Mayor said:

“I am confident that China will continue to present tremendous opportunities for City busineses, particularly in Private Equity and Venture Capital, Mergers & Acquisitions and listings on the London Stock Exchange. I also hope that CIC will choose to draw on the UK’s expertise in asset management and use as an investment channel for its sovereign wealth fund.”

In Korea, the Lord Mayor will meet President Roh and other political leaders. He will raise issues including pensions and highlight the importance of liberalising financial markets.

He said: “I am very excited about visiting Korea. I hope Korea will see UK as their first choice of international partner and a gateway to the EU. We will be sharing with them the lessons that City has learnt and helping to build Seoul as a regional financial hub in Asia.”

Continuing his initiative on promoting the City of London as the world’s centre for business learning, the Lord Mayor will launch several educational seminars and events in partnership with CASS Business School, Costas Grammenos International Centre for Shipping in Hong Kong. He will speak at an Institute of Chartered Accountants (ICAEW) event in Beijing to launch accountancy standards in Beijing which may help Chinese authorities to compete effectively in global arena.

Through this visit the Lord Mayor will gain first-hand insights into the changing political and economic landscapes in China and Korea which he will share with City businesses on his return to inform the City’s approach to the Chinese and Korean markets.

Press enquiries: Loretta Lui 07770 803 589 or City of London Press Office on 0207 332 1906.

Notes to editors
Lord Mayor John Stuttard will be in Hong Kong 16/10, 23/10-24/10, Nanjing 17/10-18/10, Shanghai 18/10 -21/10, Seoul 21/10-23/10, Beijing and Tianjin 24/10 – 27/10

City of London
The City of London Corporation is committed to maintaining and enhancing the status of the business City as the world's leading international financial and business centre as part of its role in providing local government services for the Square Mile. Its responsibilities also extend far beyond the City boundaries and include management of the Barbican Centre, Central Criminal Court at the Old Bailey, Epping Forest, Hampstead Heath, three wholesale food markets, as well as acting as the London Port Health Authority.

Going Global
Going Global brings together high-profile local companies, UK experts, representatives from the City of London and UK practitioners. Participants will hear about why the City of London is the world’s leading financial services centre, how to raise capital and how to access the professional skills required, listings on the main LSE or AIM and accessing venture capital.

City of London, City of Learning
Lord Mayor Stuttard has launched the new "City of London – City of Learning" campaign backed by the British Council and UKTI to link global centres with high-level professional institutions and universities/business schools in the UK. See the website www.cityoflondonlearning.org. The campaign involves City-related UK professional institutes, key university business schools and training providers that offer post-graduate and professional qualifications in financial, maritime and business services, both in the UK and overseas. The Lord Mayor’s campaign steering group includes Sir Paul Judge (Chairman), Sir Roderick Floud, Professor David Rhind and representatives of HM Treasury, UKTI, the British Council and IFSL.

City of London and China
In strengthening direct links with China, the City of London, using CBBC’s Launchpad Scheme, has now established City Representations in Beijing and Shanghai. The City Representations promote the services of the City to the Chinese public and private sectors, eg London exchanges, insurance, asset management, infrastructure finance and consultancy, business education & training. Other tasks include promoting the City as a location for Chinese companies, and facilitating the business development of City firms in China. The City of London has also signed a Memorandum of Understanding with both Shenzhen and Shanghai.


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