More tourist companies owned by Hong Kong and Macao businessmen are likely to enter the Chinese mainland from early 2006.

According to a new regulation jointly issued by the National Tourism Administration (NTA) and the Ministry of Commerce, the minimum annual revenue requirement for wholly-owned Hong Kong and Macao tourist companies that want to set up on the Chinese mainland is now 25 million U.S. dollars. The minimum revenue requirement for jointly-owned companies is 12 million U.S. dollars.

Prior to the promulgation of the new regulation, the minimum annual revenue requirements for wholly or jointly-owned tourism companies were 500 million U.S. dollars and 40 million U.S. dollars respectively.

The new regulation is in line with the supplementary regulations to the Mainland-Hong Kong Closer Economic Partnership Arrangement (CEPA) and the Mainland-Macao CEPA, said an official with the NTA.

The new regulation offers exciting opportunities for Hong Kong and Macao tourist entrepreneurs. It will also help improve the mainland's tourist services, said an expert.

Source: Xinhua