The Guangdong-Hong Kong-Macao Greater Bay Area accounts for 60 percent of the total overseas direct investment in China, making the region a bridge for foreign investments targeting the mainland market, according to DBS Hong Kong’s Greater Bay Area (GBA) Report released on Wednesday.

As the GBA’s bright prospects bode well for the Singapore-based commercial bank, DBS has developed various strategies to explore opportunities and overcome challenges in the region.

The number of new individual investors in the program was 24,288 and 13,000 in March and April, compared to growth of around 1,000 per month previously, according to data from the People’s Bank of China

“GBA’s gross domestic product reached approximately $2 trillion last year, contributing 11 percent of the nation’s total, though the region is only 1 percent of China’s total land area,” said Ji Mo, chief China economist at DBS Hong Kong. Its economy ranks second to the New York Bay area, but is bigger than the Tokyo Bay and San Francisco Bay areas.

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Ji said that Chinese companies who plan to tap into the overseas market can connect with the world through the GBA, which is a regional tech hub.

In addition, Guangdong’s innovative capability has led the way in China for the seventh consecutive year, with more than 75,000 high-tech enterprises set up in fields such as artificial intelligence and 5G, and the number of researchers in this area has doubled in the past decade to almost 1 million, Ji said.

DBS Hong Kong also observed that more investors are participating in the Wealth Connect Schemes between Hong Kong and the Chinese mainland. The number of new individual investors in the program was 24,288 and 13,000 in March and April, compared to growth of around 1,000 per month previously, according to data from the People’s Bank of China.

The central government rolled out the GBA’s outline development plan in 2019 and aims to establish it as a globally competitive region by 2035, linking the two special administrative regions with nine Guangdong cities.

READ MORE: GBA investment program sees big jump in participants

The GBA’s distinctive features — strategic location, advanced infrastructure, skilled workforce, and supportive government policies — position it as a crucial hub for finance, commerce, and innovation. The region has the potential to become the country’s primary economic powerhouse.

Contact the writer at thor_wu@chinadailyhk.com