Economy

Markets

Industries

Insights

Reports

Events

Hainan blossoms over 20 years as province

By Huang Yiming (China Daily)
Updated: 2008-05-03 10:37

Beach at Dadonghai in Sanya, Hainan province.

Once on the fringes of China's economy, tropical Hainan Island has blossomed into a prosperous province in the two decades following its designation as a special economic zone.

The island off the coast of south China, before under the jurisdiction of Guangdong province, was designated a special economic zone in 1988 and then upgraded to a full province.

Related readings:  Country's first LPGA meet to debut on Hainan island  Hainan province urged to further reform, open up  Hainan unveils blueprint for int'l tourists  Hainan looks to be tourist mecca

Twenty years ago Hainan began developing its newly offered economic status that entitled it to preferential policies - and its economy has taken off .

Gross domestic product (GDP) of the province hit 122.96 billion yuan last year, an increase of more than 20-fold from 5.73 billion yuan ($819.51 million) in 1987. Annualized 11. 4 percent growth over the past two decades was 1.6 percentage points higher than the national average.

Its productive economy resulted in per capita income that also grew robustly over the past 20 years at an aggregate rate of 9.7 percent annually.

Its economy not only grew in volume, but has also expanded in breadth. Once heavily reliant on agriculture, the island is now a rising industrial powerhouse and tourism mecca.

Agriculture's proportion in the economy has dropped from 50 percent in 1987 to 31 percent last year as the industrial sector increased from a 19 percent share two decades ago to 29 percent last year.

Service-related industries also maintained steady growth, driven by burgeoning numbers of tourists that now generate 39 percent of the island's GDP, compared to 31 percent in 1987.

The growing economy has also translated into strong tax and other revenues for the provincial government, increasing from a meager 296 million yuan in 1987 to 15.24 billion yuan in 2007, a 50-fold jump. The revenues have greatly strengthened the provincial government's capacity to offer more public services to the people.

The government's "one province and two bases" strategy plans to further develop the island into an industrial province while maintaining its tropical agriculture base and tourism growth.

   Previous page 1 2 Next Page  

   Previous page 1 2 Next Page