Hengqin unveils incentives to lure Macau businesses to office buildings before rulebook takes effect

Mainland Chinese authorities have dangled another package of financial stimulus to attract businesses from Macau to commercial buildings in neighbouring Hengqin, with eligible enterprises to be given subsidies across a wide range of fronts including renovation, rent, and research.

Authorities in the Guangdong-Macao In-Depth Cooperation Zone in Hengqin today issued what it called a “guidebook for Macau-funded enterprises” moving onto the island.

Prospective beneficiaries include companies incorporated in Macau and up and running for at least two years, with at least 25 per cent of their shares held by locals or legal persons from the SAR – by way of either direct or indirect ownership.

Businesses moving into commercial properties approved by Hegnqin authorities could be entitled to a rent allowance for as long as three years, to a maximum of 70 per cent of their evaluated rents – or RMB70 (US$10) per square metre a month.

An additional grant for refurbishment will also be available – up to 70 per cent of the renovation cost, or a maximum of RMB1000 per square.

Each enterprise could obtain at most RMB1 million under this measure.

The Hengqin administration also said that it would reward companies for producing revenue at a certain rate, with an enterprise given a one-off payment of RMB600,000, up to RMB1.2 million at most.

When it comes to scientific and technological research, as much as RMB5 million in grants could be provided to drive high-end manufacturing and advancements in technology.

According to today’s announcement, the MICE sector is also among the prospective beneficiaries of the fresh financial support, with each business looking to take part in conferences, events, and exhibitions to be given RMB150,000 in subsidies annually, as well as a 90-percent exemption from booth costs.