HKSAR Chief Executive John Lee discussed his inaugural Policy Address and expressed confidence in the initiatives designed to boost the economy at the Joint Business Community Luncheon on November 9. Co-organised by over 30 chambers, the hybrid event was attended by more than 1,000 local and international business leaders.
In his speech, the Chief Executive applauded the success of November‘s large-scale events, such as the Global Financial Leaders‘ Investment Summit, Hong Kong FinTech Week and Hong Kong Sevens. “For Hong Kong, these glamorous events marked a clear and compelling turning point. A new beginning. Yes, Hong Kong is onstage again. Back on the business stage. Back on the global stage,” he noted.
While acknowledging that there was still some way to go, he said: “I am confident that my Policy Address will give the businesses, and the people, of Hong Kong the policies and initiatives that they need – that you need – to start making things happen again. To set us firmly on that path of economic recovery.”
He discussed initiatives designed to attract businesses and talents to sectors like life and health technology, artificial intelligence and data science, financial technology, advanced manufacturing, and new energy technology.
Besides the Office for Attracting Strategic Enterprises and the new HK$30 billion Co-Investment Fund, Lee said attractive offerings would be made available to the right companies, with incentives for financing, land and tax, and tailor-made facilitation plans on visas and child education.
Addressing the issue of brain drain, Lee spoke about the Government‘s scheme to attract working graduates from the top 100 universities worldwide, or any person earning HK$2.5 million a year. He added that non-local graduates of universities in Hong Kong would have their stay extended to two years, as well as graduates of Hong Kong universities with campuses in the Guangdong-Hong Kong-Macao Greater Bay Area.
He also assured Chamber members that the Government was determined to do everything possible to help build their future in Hong Kong.
“That begins with our small and medium-sized enterprises (SMEs), the heart and soul of Hong Kong‘s business and trade,” he said, adding that the SME Export Marketing Fund has helped around 54,000 companies and 400,000 employees since it was launched in 2001. “My Policy Address has pledged to boost the fund, raising the funding ceiling, per company, from HK$0.8 million to HK$1 million. The scope of this fund now covers local exhibitions, whether in person or online. This initiative will stay in place until June 2026.”
He stressed that the Government was keen to support Hong Kong businesses in every way possible. In September, Secretary for Commerce and Economic Development Algernon Yau visited Cambodia to attend the sixth ASEAN Economic Ministers-Hong Kong, China Consultation meeting and to promote Hong Kong business in Cambodia and throughout ASEAN. Designed to boost the high levels of trade and investment, the ASEAN-Hong Kong, China Free Trade Agreement and related Investment Agreement entered into force in February last year.
Lee said it helped that Hong Kong could count on the 14 overseas Economic and Trade Offices (ETOs) and 16 offices and liaison units in the Mainland. Add the external offices of the Hong Kong Trade Development Council (TDC) and Invest Hong Kong, and Hong Kong‘s global promotion network covers 65 cities in 128 countries.
During his visit, Yau discussed Hong Kong‘s accession to the Regional Comprehensive Economic Partnership (RCEP), the world‘s largest FTA, which includes the GBA. “Hong Kong will be a central player in the Greater Bay Area – in financial and professional services, in trade and transport, in innovation and technology (I&T) and much more,” said Lee.
The Chief Executive also discussed his pledge of HK$10 billion to launch in 2023 a Research, Academic and Industry Sectors One-plus Scheme, which will fund at least 100 university research teams. “The point here is encouraging collaboration among our industry, academic and research sectors in the commercialization of home-grown R&D,” he explained.
On education, Lee stressed that the aim was to build and sustain a rich pool of talented I&T professionals. Plans are in place to boost Hong Kong education in STEAM, that is science, technology, engineering, the arts and mathematics. “By the 2024/25 school year, at least 75% of the city‘s publicly funded schools will offer enriched coding education at the upper primary level, together with artificial intelligence and other I&T elements at the junior secondary level,” he noted.
Over the next five years, 35% of students at UGC (University Grants Committee)-funded universities will be studying STEAM subjects. The number of publicly funded research postgraduate places at the city‘s universities will be boosted by nearly 30%, from about 5,600 now to 7,200 within the next two years.
Touching on Hong Kong‘s unique position as an East-meets-West centre for cultural exchange, Lee said a Mega Arts and Cultural Events Fund would be established, as well as a 10-year development blueprint for everything from the number of Hong Kong museums to the seats at performance venues. Also planned are an annual pop culture festival, a GBA culture and arts festival, an annual Hong Kong week and a Chinese opera festival.
Lee ended his speech with a warm word of thanks to those in attendance. “My thanks to the over 30 chambers that have come together today to organize this splendid luncheon gathering. You represent Hong Kong and economies from all over the world,” he said. “We may sometimes have different views – on policy and politics, or on football and rugby – but know that I am very grateful to call you friends. Friends of Hong Kong.”