HONG KONG, Oct. 5(AP) -- Hong Kong stores and tourism officials are thrilled with the the big-spending mainland tourists, who have played a key role in revving up Hong Kong's once-slumping economy. The retailers are especially ecstatic now as mainland tourists stream in during China's "Golden Week", a national holiday that encourages Chinese to crack open their swelling bank accounts for a spasm of traveling and splurging.

Inside the top designer outlets at Hong Kong's swanky Pacific Place mall, the frenzy of sales activity is usually conducted in Mandarin, the mainland's official language, not the local tongue, Cantonese.

The number of mainland visitors hit 7 million, the same size as Hong Kong's total population, during the first half of this year, the Tourism Board said. Another 700,000 are expected during Golden Week, the board said.

"We come here because all the latest designs are here. It's great to have so many big labels in one place too," gushed Shanghai visitor Liu You, a woman in her early 30s who stood out with her ginger-dyed hair and trendy outfit.

She splurged HK$5,600 (US$721, euro 604) on a flashy Gucci monogrammed handbag, the most popular design, and lost no time in heading over to Louis Vuitton for more purchases.

It was once hard for mainlanders to visit Hong Kong because of tight traveling restrictions. Although Hong Kong is part of China, the capitalist city has been promised a wide-degree of autonomy and mainlanders need permission to cross the border.

But two years ago, the restrictions were relaxed, largely due to prodding from Hong Kong, which was struggling to recover from the ecomomic ruin caused by the 2003 outbreak of SARS, severe acute respiratory syndrome.

Throngs of visitors from the wealthier provinces, especially neighboring Guangdong, with a population the size of Germany's, have crossed the border to roam the upscale malls here for the latest tax-free luxury goods.

Last year, the Chinese purchased 12 percent of global luxury goods, but only 2 percent of those were bought on Chinese soil, according to a Goldman Sachs report last year.

Compared to the mainland, goods sold in Hong Kong are not only 20 percent to 30 percent cheaper due to tax advantages, but are also perceived as exemplars of quality control when compared to those on the mainland.