The Guangdong Provincial Commission for Deepening Overall Reform recently issued an action plan to support building Tianhe central business district (CBD) into an innovative and outstanding demonstration area for comprehensive urban functions, urban culture, modern service industry, as well as for a modern and international business environment.

As one of the three national CBDs, the Tianhe CBD has been a strong economic engine for Guangzhou. Its economic aggregate had exceeded 300 billion yuan ($44.34 billion) in 2020, accounting for one eighth of Guangzhou's GDP.

Guangzhou has 2,173 standard office buildings, of which 163 have a tax revenue of more than 100 million yuan and 25 have a tax revenue of over 1 billion yuan. Among them, Tianhe district has 71 buildings with a tax revenue of more than 100 million yuan and 17 with a tax revenue of over 1 billion yuan, most of which are located in the Tianhe CBD, according to Gong Yuan, vice chairman of the Guangzhou Association of Building Economy Promotion.

The CBD is home to 120 headquarters enterprises, the Big Four accounting firms, over 200 projects invested in by Fortune Global 500 companies, 54 foreign consulates, 33 regional headquarters of foreign banks, as well as over 2,000 Hong Kong and Macao service enterprises, highlighting the confidence in Tianhe CBD's development of a modern service industry system, Gong added.

The Tianhe CBD. [Photo/WeChat ID: gztzth]

A three-step goal was also put forward by the action plan. The added value of the modern service industry in the Tianhe CBD will account for over 90 percent of that of the tertiary industry by the end of 2022. By 2025, the Tianhe CBD shall significantly enhance its economic influence, innovation, and cultural leadership, as well as form industrial clusters in finance, modern commerce and trade, and high-end professional services. By 2035, its comprehensive strength to participate in global competitions and cooperation will be greatly enhanced, while its international influence will be significantly improved.

In terms of economic indicators, the modern service industry in Tianhe district accounts for 70 percent of its GDP, said Lin Jiang, an economics professor at Lingnan College of Sun Yat-sen University.

In addition, modern services, such as finance, legal services, conferences and exhibitions, as well as human resources services grew faster than traditional services like hotels and restaurants, added Lin, which indicates that the first-step goal appears within reach.