Complementary and interdependent relationships among Pan-Pearl River Delta neighbours are vital for the area's successful economic development, Guangdong Provincial Party Secretary Zhang Dejiang said at opening ceremonies of a regional meeting.

'To push forward co-operative efforts in PPRD, we must develop complementary ties in the region under the principle of 'market leads, government facilitates', he told the Pan-Pearl River Delta Regional Co-operation and Development Forum.

Zhang said Hong Kong, Macao and Guangdong will play leading roles in the delta's transformation into a world economic hub.

'Under the Pan-PRD framework, Hong Kong is set to become the region's logistics and financial hub, and Macao the gaming and trade services centre, while Guangdong's role as a manufacturing base will be reinforced,' he said.

Zhang noted the three area's unique advantages, under the principle of 'one country, two systems,' will be combined to foster greater economic integration and promote co-operation between China and neighbouring Asian economies.

The provincial Party chief urged Hong Kong to further economic teamwork with Macao and Guangdong, adding that the three areas have become interdependent on one another's development.

Zhang identified important objectives for pan-delta economic co-operation.

'We must push forward the implementation of the Closer Economic Partnership Arrangement, enhance co-operation in trading activities, and facilitate the development of a unified market,' he stressed.

As the forum began, Zhang was joined by Hong Kong Chief Executive Tung Chee-hwa and Macao Chief Executive Edmund Ho Hau-wah, along with the governors of the nine PPRD provinces.

Tung stressed the importance of strengthening partnerships, saying the size of the population and economies in the region is nearly a third of the country's total.

'The consolidation of regional ties will provide new opportunities from the development of an Asian economic bloc, and speed up economic growth in the entire region,' he said.

Macao's Chief Executive Edmund Ho Hau-wah said the delta region should be developed into a regional tourism haven.

'The 11 areas of the pan-delta region all have unique appeal. The region should be integrated as an important tourist destination in Asia,' he said.

Leaders of the PPRD provinces and autonomous region will continue talks in Macao today and are due to sign an co-operation agreement in Guangzhou on Thursday (June 3rd).

It will cover infrastructure, agriculture, investment, tourism and technology.

The PPRD concept, proposed last year by Zhang, hopes to further pan-delta economic integration.

Also known as '9+2,' it encompasses the areas of Fujian, Jiangxi, Hunan, Guangdong, Guangxi, Hainan, Sichuan, Guizhou, Yunnan and Hong Kong and Macao.

Editor: Catherine