The framework agreement was one of the achievements at the second Plenary Session of the Hong Kong-Beijing Economic and Trade Cooperation Conference co-chaired by Hong Kong Special Administrative Region Chief Executive Donald Tsang and Beijing Municipal Mayor Wang Qishan.

Hong Kong and Beijing agreed to support each other to launch a tourism promotion package targeting the 2008 Olympics in the two cities during the preparatory period of Olympics from 2006 to 2008.

Selina Chow, chairwoman of the Hong Kong Tourism Board, said she hoped the equestrian event of the 2008 Olympics in Hong Kong would help attract a good number of tourists to the metropolis, via which they could travel to Beijing to watch other Olympics events.

"We take the huge market potential and business opportunities brought by the Olympics seriously," Chow said.

The two cities also agreed to enhance cooperation in areas of financial services and innovation, technology, the creative and cultural industries, together with the further implementation of the Hong Kong/Mainland Closer Economic Partnership Arrangement (CEPA).

The 2008 Olympics has already created business opportunities for both cities in various Olympic-related services, including legal, financial, construction design and consultancy services.

Analysts believe the games will also bring business opportunities to Hong Kong enterprises in Olympic-related logistics, food and beverage, retailing, souvenir sales and tourism.

Beijing has hoped to introduce about 690 million U.S. dollars of investment from Hong Kong investors into five tourism projects related to the 2008 Olympics.

Currently, 10 Hong Kong enterprises have participated in the programs to produce products and provide retail services as Hong Kong and Beijing promise to further promote information exchange on Olympic-related business opportunities.