HONG KONG, April 26 (Xinhua) -- Connection with the mainland has enhanced the competitiveness of Hong Kong's finance market, Donald Tsang, Chief Executive of the Hong Kong Special Administrative Region (HKSAR), said Wednesday.

    "Our connections with the mainland have given us an obvious edge over our competitors in servicing the financing and investment needs of mainland enterprises," said Tsang.

    He added that Hong Kong's well-regulated and highly liquid financial markets have become the venue of choice for mainland enterprises venturing in the international market.

    Up to the end of last year, 335 mainland enterprises listed in Hong Kong, accounting for about 30 percent of the total number of companies listed on the Hong Kong Exchanges and Clearing Ltd., and 39 percent of the total market capitalization.

    In last year alone, the turnover of these mainland enterprises accounted for 46 percent of the total equity turnover of the Hong Kong stock market.

    Mainland companies raised about 180 billion HK dollars (23.22 billion U.S. dollars) on the Hong Kong capital market, accounting for 60 percent of the market total in last year.

    "Together they have raised more than 1,100 billion HK dollars (142 billion U.S. dollars) and account for more than 40 percent of our total market capitalization," said Tsang.

    For those mainland enterprises that have listed in Hong Kong and overseas concurrently, about 75 percent of their trading is done in Hong Kong.

    Expressing confidence of Hong Kong finance market's attraction to mainland enterprises, Tsang said Hong Kong will reinforce its role as the premier capital formation center for the mainland.

    He made the remarks at the opening of the newly renovated facilities of the Hong Kong Exchange and Clearing Lt.

    Over the 20 years since the Stock Exchange of Hong Kong started operation, the market capitalization of Hong Kong has grown 38 times, reaching more than 9,500 billion HK dollars (1,226 billion U.S. dollars) last month.

    Hong Kong's stock market now ranks the second largest in Asia and the eighth largest in the world. Enditem