A Study On The Impact Of Financial Agglomeration On Industrial Structure Upgrading In The Guangdong-Hong Kong-Macao Greater Bay Area

As the global industrial distribution pattern continues to change,the international division of labour is further refined and the cost of various factors has risen sharply,leading to a weakening of China’s comparative advantage,a decline in international competitiveness and a lack of economic growth momentum,there is an urgent need to shift from traditional factor-driven to innovation-driven.This paper focuses on the Guangdong-Hong Kong-Macao Greater Bay Area,which is at the forefront of economic opening and development,and examines the impact of the level of financial agglomeration on the transformation and upgrading of industrial structure.Firstly,based on the background and significance of the study,and summarising existing research and relevant theories,it is discussed that financial agglomeration can influence industrial structure through agglomeration of savings,resource allocation,risk management and economies of scale in the formation process.Then,it analyzes in detail the current development level of financial agglomeration in the Greater Bay Area and the problems existing in the current industrial structure,and calculates the degree of financial agglomeration in the Greater Bay Area from 2000 to 2020 through the location entropy index.It can be seen that there is an obvious phenomenon of financial industry agglomeration in the Greater Bay Area,but there is a large gap in the degree of financial industry agglomeration.Hong Kong is far ahead in terms of financial development.Although Macau is at the forefront of financial development in the Greater Bay Area,there are obvious shortcomings,and the development of the securities industry is slightly weaker.Due to the implementation of a free economic system,Macao’s banking industry has a high degree of internationalization.Among the nine cities in the Pearl River Delta,Shenzhen is currently the most dazzling financial development.The securities industry is very developed and has an important position in the international market.;Guangzhou,as the capital city of the province,has seen relatively stable financial development in recent years;while the remaining cities have a slightly lower level of financial concentration and more room for development.However,there are still problems in the Greater Bay Area,such as uneven development of industrial structure;prominent homogeneous competition in industries;and not yet achieved industrial synergy and innovative development.Then,this paper uses two indicators to interpret industrial structure rationalisation and heightened industrial structure upgrading,and uses panel data fixed-effects models to empirically test the impact of financial agglomeration on them respectively,and finds that both have positive effects,and conducts robustness tests through dynamic models and phased regressions.The results show that capital formation has an incomplete mediation effect.Finally,from the perspective of strengthening the level of financial agglomeration,and taking into account the actual situation in the Greater Bay Area,four suggestions are put forward.Strengthening regional financial cooperation to improve the overall level of financial agglomeration;accelerating the construction of the financial system to maintain the stability of the financial market;promoting the integration and development of financial technology to enhance international competitiveness;and nurturing multi-level financial talents to play a supporting and leading role.