Author Archives: hksar gov

     Following is the speech by the Financial Secretary, Mr Paul Chan, at the Hong Kong FinTech Week x StartmeupHK 2026 today (November 2):

Distinguished guests, ladies and gentlemen,

     Good morning. It is a pleasure to join you at Hong Kong FinTech Week.
 
     This morning, you have discussed how data, tokenisation and artificial intelligence (AI) are reshaping finance, and why trust matters as we embrace innovation.
 
     Hong Kong has long been at the forefront of fintech. Our task now is to build on that foundation, turning technological capabilities into real economic benefits, particularly in the age of AI.
 
     Several questions stand out. How can payment systems connect more closely? Once assets are tokenised, how do we build scale and liquidity? And when AI starts carrying out financial tasks on our behalf, where should responsibility lie? 
 
     The answers matter to Hong Kong’s future. This year marks the beginning of the National 15th Five-Year period. Hong Kong’s very first Five-Year Plan has also been published, with fintech an important part of our vision.
 
     I see three priorities for our next steps: efficiency as the engine, inclusion as the purpose, and trust as the foundation.
 
Efficiency as the engine
 
     First, efficiency. The greatest gains increasingly come from connecting financial systems, not simply making each one faster.
 
     Take payments for example. A World Bank survey last year found that the average cost of sending US$200 was about 4.6 per cent through digital remittance services, compared to 7.3 per cent through non-digital services. Behind this cost gap is an infrastructure gap. Here in Hong Kong, our Faster Payment System, or FPS, shows our infrastructure can bridge the gap. It has recorded more than 22 million registrations in a city of 7.5 million people. Last year, daily Hong Kong dollar payments averaged HK$16.2 billion.
 
     FPS already connects with the Mainland and Thailand. Our forthcoming collaboration with UnionPay International will enable QR-code payments at over 100 million merchants across Hong Kong, the Mainland and more than 40 overseas markets.
 
     Users can pay in more places through a familiar service, while businesses can accept cross-border payments more easily.
 
     Connecting digital assets with digital money brings similar benefits to capital markets. In 2023, we issued our first tokenised government green bond, with settlement taking just one business day rather than the five days required under the conventional approach. This September, our fourth digital green bond offering raised around HK$20 billion across four currencies. Tokenised deposits were used in settling the Hong Kong dollar portion.
 
     If we demonstrated speed in 2023, this year, we demonstrate scale: tokenisation can now support mainstream market issuance.
 
     Meanwhile, last week, two tokenised money market funds authorised by SFC (Securities and Futures Commission) began round-the-clock trading on a licensed platform, with safeguards for pricing, liquidity and disclosure. Investors now have greater flexibility in when they trade.

     Connecting tokenisation initiatives is the HKMA’s (Hong Kong Monetary Authority) Project Ensemble. The project has entered a new phase: banks will be able to settle tokenised deposits around the clock and use them for cross-border payments. The HKMA is also testing tokenised Exchange Fund Bills and working with Cyberport to help businesses explore and test practical applications of tokenisation.
 
Inclusion as a purpose
 
     Beyond efficiency comes inclusion. However good our infrastructure, if SMEs (small and medium-sized enterprises) still cannot obtain finance, the gains in efficiency will benefit only a few.
 
     Imagine a trading company with reliable customers and a strong record of fulfilling orders, but no property to pledge. Under collateral-based lending, it may struggle to secure a loan. Millions of businesses across Asia face this challenge. A survey by the Asian Development Bank last year estimated that the unmet demand for trade finance worldwide stood at US$2.5 trillion.
 
     Hong Kong’s response is to let business data speak where collateral falls short. Since its launch in 2022, the Commercial Data Interchange, or CDI, has facilitated more than 125 000 SME loan applications, involving nearly HK$110 billion in credit.
 
     Research found that banks making greater use of CDI tended to offer SMEs lending rates around 36 basis points lower. This suggests that better data can reduce the cost of assessing a business and help lower its borrowing costs. That is fintech’s tangible value.
 
     The same approach is extending to trade finance. CargoX uses cargo and trade data to help banks verify transactions, with 21 banks participating in its pilot.
 
     Through CargoX Connect, five pilot banks can access trade declaration data from the Yangtze River Delta. By early October, this had helped secure approval for trade finance loans totalling HK$180 million.
 
     Last month, the HKMA signed an agreement with the PAA Digital Trade Alliance to extend cross-border data sharing through its network spanning 15 economies.
 
     These initiatives help banks look beyond collateral to understand business performance. When data flows across borders, SMEs can use their track records to seek finance beyond their home economies. Connecting systems help banks recognise businesses they might otherwise overlook.
 
Trust as the foundation
 
     Ladies and gentlemen, both efficiency and inclusion depend on trust. That trust is supported by sound institutions and earned over time. Hong Kong’s regulatory framework has kept pace with innovation to ensure that our financial markets can grow on a firm foundation.
 
     The industry’s concerns are practical. Liquidity in secondary trading of tokenised assets is still being built. Large-scale uses of stablecoins are still being tested. Responsibilities for AI agents are still being clarified. Our regulatory framework provides clear rules so that firms can explore these issues with confidence and move forward steadily.
 
     Stablecoins are a good example. When the HKMA granted its first two issuer licences in April, the assessment focused on risk-management experience, commitment to compliance, and genuine use cases supported by viable business plans. Issuers must do far more than issue tokens. They must manage reserves properly, honour redemption commitments and protect users’ interests. Robust standards provide the strongest foundation for long-term growth.
 
     The same principle extends to artificial intelligence. The HKMA has just launched Project SAGE (Securing Agentic Finance with Governance and Enablement), bringing together industry experts to explore practical applications of agentic finance and the safeguards they require. It will seek views on how institutions should oversee AI agents: how to keep them within their authority, maintain human control and stop them if something goes wrong. These are questions the industry must address together.
 
     One principle is clear: AI agents may carry out tasks, but responsibility remains with the institution. Those deploying AI must be accountable for its actions. Upholding that principle will allow AI to play a greater, trusted role in financial services.
 
Bringing benefits into daily business
 
     Ladies and gentlemen, these three priorities serve one purpose.
 
     Imagine a small business receiving payment through FPS in the morning, securing finance using its trade records at midday, and paying an overseas supplier that afternoon. Each step is fast, reliable and safeguarded. That is fintech serving the real economy.
 
     This is how we take fintech further: not simply by launching more pilots, but by bringing their benefits into the daily operations of businesses.
 
     The Government will provide clear rules and reliable infrastructure. I invite you to bring practical applications to Hong Kong.
 
     Together, let us put innovation to work for businesses and for people.
 
     Thank you. read more

     The Chief Executive, Mr John Lee, will depart for Beijing and Shanghai tomorrow (November 3) to attend the 29th Beijing Hong Kong Economic Cooperation Symposium and the ninth China International Import Expo (CIIE).

     Mr Lee said that Hong Kong will continue to deepen exchanges and co-operation with the Mainland. By participating in and supporting the Symposium and the CIIE, Hong Kong will promote its unique advantage of connecting the Mainland and the world under the “one country, two systems” principle, actively play the roles of “super connector” and “super value-adder”, and further consolidate its position as a two-way platform for supporting Mainland enterprises in going global and bringing in overseas enterprises, jointly exploring more new opportunities.

     During his visit to Beijing, Mr Lee will meet with officials of Beijing, and attend and deliver a speech at the opening ceremony of the Symposium on November 4. Under the theme of “Beijing-Hong Kong Together into the 15th Five Year Plan”, this year’s Symposium will promote deeper practical co-operation and stronger complementary advantages between the two places, to jointly seize new opportunities arising from the National 15th Five-Year Plan.

     Mr Lee will depart for Shanghai on the same day. During his visit to Shanghai, Mr Lee will attend the opening ceremony of the ninth CIIE and the Hongqiao International Economic Forum on November 5, visit the Hong Kong exhibition area and the exhibition booths of Hong Kong enterprises, and deliver a speech at the sub-forum of the Hongqiao International Economic Forum. He will also meet with officials of Shanghai to deepen Shanghai-Hong Kong co-operation.

     Mr Lee will return to Hong Kong on November 6. During his absence, the Chief Secretary for Administration, Mr Chan Kwok-ki, will be the Acting Chief Executive. read more

     The Secretary for Innovation, Technology and Industry, Professor Sun Dong, will depart for Wuzhen, Zhejiang, this afternoon (November 2) to attend the 2026 World Internet Conference Wuzhen Summit.

     The 2026 World Internet Conference Wuzhen Summit, with the theme “Open Source and Openness, Joint Contribution and Shared Benefits – Jointly Building a Community with a Shared Future in Cyberspace”, is hosted by the World Internet Conference and undertaken by the People’s Government of Zhejiang Province. Professor Sun will attend the opening ceremony and ministerial meeting of the Conference, and deliver an opening speech at the Global Cooperation and Innovation Forum on Mutual Trust, Interconnectivity and Interoperability of AI Agents – Jointly Building the Intelligent Internet as well as the Cross-Strait, Hong Kong and Macao Internet Development Forum. 

     The Acting Commissioner for Digital Policy, Mr Daniel Cheung, will also attend the Summit.

     Professor Sun will return to Hong Kong on Wednesday evening (November 4). During his absence, the Under Secretary for Innovation, Technology and Industry, Ms Lillian Cheong, will be the Acting Secretary for Innovation, Technology and Industry.  read more

     Following is the speech by the Chief Executive, Mr John Lee, at Hong Kong Legal Week 2026: UNIDROIT Centenary: Regional Conference for the Asia-Pacific and Opening Ceremony of the Asia-Pacific Liaison Office today (November 2):

Professor Enzo Moavero-Milanesi, (President of the International Institute for the Unification of Private Law (UNIDROIT)), Professor Ignacio Tirado (Secretary-General of the UNIDROIT), Commissioner Cui Jianchun (Commissioner of the Office of the Commissioner of the Ministry of Foreign Affairs in Hong Kong Special Administrative Region), distinguished guests, ladies and gentlemen,

     Good morning, and welcome to Hong Kong.

     It is my honour and privilege to be here, with you, at the opening of the UNIDROIT Centenary Regional Conference for the Asia-Pacific.

     This is a day of double celebration. Today we commemorate 100 years of UNIDROIT’s extraordinary contribution to the modernisation and harmonisation of private law. Equally significant, we’re here to witness the opening of a new chapter of UNIDROIT – the establishment of its inaugural office outside its seat in Rome, right here in Asia’s World City, Hong Kong.

     UNIDROIT was established in 1926, under the auspices of the League of Nations. Back then, few could have imagined the profound impact it would have on the global legal landscape in the century to follow.

     Today, UNIDROIT stands as one of the world’s oldest international organisations dedicated to strengthening the rule of law in international private and commercial law. Its 65 member states come from five continents.

     While the League of Nations no longer exists, UNIDROIT remains a prominent and independent inter-governmental organisation based on the 1940 UNIDROIT Statute.

     Its mission – to study the needs and methods for modernising, harmonising and co-ordinating private and commercial law among states, formulating uniform law instruments, principles and rules to achieve those objectives – has become more relevant than ever.

     UNIDROIT has been instrumental in reducing legal barriers to trade, investment and cross-border co-operation. In doing so, it promotes the connectivity and prosperity that our region treasures.

     So, yes, Hong Kong gladly welcomes the establishment of the UNIDROIT Asia Pacific Liaison Office in our city.

     It is a decision of profound significance – for UNIDROIT, for Hong Kong and for the entire Asia-Pacific region.

     The Liaison Office will serve as a focal point for enhanced engagement with member states and stakeholders in the region. And it will play a crucial role in the legislative and institutional work of UNIDROIT.

     Hong Kong, strategically located at the heart of Asia, is an ideal home for the Asia-Pacific Liaison Office.

     We are a renowned international legal, trade and financial hub, and a host to many international organisations.

     Hong Kong is also the only common law jurisdiction within China, our country, operating under the unique principle of “one country, two systems”. Our legal system is renowned for its robust rule of law, buttressed by a deep pool of legal talent.

     Our laws and dispute resolution framework are well aligned with international standards and recognised globally. Indeed, the 2026 World Justice Project Rule of Law Index, published last month, ranks Hong Kong sixth in East Asia and the Pacific, and within the first quintile out of 143 countries and jurisdictions. And Hong Kong maintained its position within the top 10 globally in “Absence of Corruption” and “Order and Security”.

     The National 15th Five-Year Plan supports Hong Kong in deepening its development as an international legal and dispute resolution services centre.

     Hong Kong’s First Five-Year Plan, launched in September, sets out a range of measures to harness the unique advantages of our common law system.

     And this year’s Policy Address reaffirms our commitments in greater detail, specifically noting our support for the establishment of the UNIDROIT Asia-Pacific Liaison Office in Hong Kong.

     The Liaison Office will also enjoy benefits from co-operation with other partner organisations here. That includes the International Organization for Mediation, headquartered in Hong Kong since last year, as well as the Asian-African Legal Consultative Organization’s Hong Kong Regional Arbitration Centre and the Hague Conference on Private International Law’s Regional Office for the Asia Pacific.

     The Liaison Office may also enjoy benefits from the stakeholder network established by the Hong Kong International Legal Talents Training Academy. The Academy was launched by the Department of Justice two years ago this month. Working together, I’m confident the two organisations can address UNIDROIT’s needs for capacity building.

     Such legal co-operation is essential in a city that thrives on openness, connectivity and rules-based international order.

     We strive to attract global organisations and talent, enable international legal co-operation and position Hong Kong as a “super connector” and “super value-adder” for East and West.

     The Asia-Pacific accounts for more than 40 per cent of global GDP and encompasses vital trade corridors.

     The Liaison Office reflects the importance of the Asia-Pacific region in UNIDROIT’s work and will deepen collaboration, resulting in a better understanding and implementation of private law.

     This Liaison Office is a symbol of our collective ambition to build a more harmonious and prosperous future for the Asia-Pacific and beyond.

     I wish to thank UNIDROIT for its enduring trust in Hong Kong, and to express my gratitude to our country for its staunch and unwavering support, without which this milestone would not have been possible. My thanks, as well, to all of you for your commitment to this shared endeavour.

     I am confident that the establishment of the Liaison Office will strengthen the long-standing collaborative relationship between Hong Kong and UNIDROIT, serving as a catalyst for deeper engagement throughout the region.

     Let us continue to work together – to harmonise, connect and build a future rooted in peace and prosperity.

     I wish this conference and the Liaison Office every success. The conference, let me add, is the opening event of this year’s Hong Kong Legal Week, five days of high-profile discussions and gatherings designed to strengthen regional and cross-sector collaboration, including the Second Guangdong-Hong Kong-Macao Greater Bay Area Lawyers Forum and the third Asia-Pacific International Private Law Summit.

     For those of you here from overseas, I wish you a memorable stay in Hong Kong, the world’s rising East-meets-West centre for international cultural exchange, and legal exchange, too.

     Thank you.

      

     Following is the speech by the Chief Executive, Mr John Lee, at the Hong Kong Fintech Week x StartmeupHK 2026 today (November 2):

Distinguished guests, ladies and gentlemen,

     Good morning. And welcome to Hong Kong FinTech Week and StartmeupHK 2026.

     This year’s global gathering counts some 1 000 governmental leaders and fintech, finance and technology professionals from over 100 countries and economies. That includes some 800 exhibitors and start-ups, and more than 30 delegations from the Chinese Mainland and abroad.

     Ladies and gentlemen, a very warm welcome to Hong Kong, Asia’s world city, and the world’s fintech capital.

     You’re here at an extraordinary moment in time, with technology advancing at remarkable speed and AI transforming industries. And soon the world. Supply chains, too, are evolving, and new patterns of investment, innovation and global trade are fast emerging.

     These developments, and a lot more, are forcing businesses worldwide to adjust to shifting market conditions and unprecedented technological change.

     In such an ever-changing, all-encompassing environment, one quality is becoming ever more valuable. I’m talking about certainty. Certainty about direction. Certainty about opportunities. Certainty about where businesses can invest, innovate and flourish, in the long term.

     Less than two months ago, the HKSAR Government unveiled Hong Kong’s first-ever Five-Year Plan for Economic and Social Development. It’s closely aligned with the National 15th Five-Year Plan, which sets out a clear direction for Hong Kong to leverage its strengths and better integrate into, and serve, the overall national development.

     Our Five-Year Plan reinforces Hong Kong’s status as an international financial, maritime and trade centre, as well as an international aviation hub.

     In realising it, we will accelerate Hong Kong’s development as both an international innovation and technology (I&T) centre and a hub for high-calibre talent. 

     More than a policy document, our inaugural Five-Year Plan portrays Hong Kong’s outlook for businesses, investors and innovators. For you as well. Helping you capitalise on the far-reaching promise of Hong Kong – the abundance of opportunities arising from national and global development.

     On the global stage, Hong Kong continues to be recognised as the world’s no.1 in economic freedom. We are Asia’s leading international financial centre, now home to more than 1 400 fintech companies.

     We have risen to second place, globally, in competitiveness. The Hong Kong Stock Exchange remains among the world’s leading exchanges in initial public offerings. And the Shenzhen-Hong Kong-Guangzhou innovation cluster is ranked the global no.1, two years in a row, in the World Intellectual Property Organization’s Global Innovation Index.

     These, and other international achievements speak of more than rankings. They are important because of what they represent. Confidence.

     Confidence from investors, who continue to put their capital to work in Hong Kong, now the world’s largest cross-boundary wealth hub.

     Confidence, too, in our asset and wealth management sector, with net fund inflows surging about 200 per cent last year, marking a third consecutive year of growth.

     Confidence from talented professionals worldwide, turning to Hong Kong for their future.

     And, yes, confidence from international companies choosing Hong Kong to build and scale.

     From January to September this year, InvestHK, our dedicated investment promotion agency, has helped more than 550 overseas and Mainland companies establish or expand their businesses in Hong Kong, an increase of 14 per cent, year-on-year. That’s brought in about US$ 9 billion in foreign direct investment, creating about 11 100 jobs within the first year of their opening or expansion. 

     They are here to invest in Hong Kong, and the opportunities on offer in our city. In the decades to come, many of these important opportunities will come from our Northern Metropolis.

     Northern Metropolis is the northern part of Hong Kong, representing about one-third of Hong Kong geographically, which adjoins Shenzhen city. The Northern Metropolis itself will create a new “South-North dual engine” for Hong Kong.

     That means finance in the south, and innovation and technology in the north – adjacent to the boundary with tech powerhouse Shenzhen and the rest of the Guangdong-Hong Kong-Macao Greater Bay Area. 

     Covering about one-third of Hong Kong’s land area, the Northern Metropolis will eventually be home to some 2.5 million people, or one-third of Hong Kong’s population, providing more than 500 000 new job opportunities.

     Three university towns spanning more than 1 000 hectares will rise from the heart of the Northern Metropolis, bringing education, technology, industry, talent and urban development all together.

     We are creating an innovation through-train, connecting talent and research with commercialisation and industry – and ultimately, with capital and global markets.

     And through the Hong Kong Park of the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone, or what we call the Loop Hong Kong Park, we are deepening collaboration with Shenzhen. Planned as a world-class I&T hub, the Loop Hong Kong Park will enable the cross-boundary flow of personnel, materials, capital, data and other elements driving innovation.

     San Tin Technopole, an extension of the Loop Hong Kong Park, will accelerate the commercialisation of R&D results, providing industrial space for prototyping, as well as pilot and mass production.

     And companies and innovators can take confidence in Hong Kong’s rule of law, our robust intellectual property protection, and the international standards global business demands, thanks to our unique position under the “one country, two systems” principle.

     The principle ensures Hong Kong’s international orientation and deep integration with the Mainland, giving companies a clear runway – from research and commercialisation to scale up. Our goal is to ensure that businesses have the capabilities, capital and connections to grow – from Hong Kong into Mainland and global markets. 

     Hong Kong is a pivotal player in building the Greater Bay Area into one of the world’s leading I&T hubs. 

     We will develop an I&T industry chain in the Greater Bay Area, creating an international collaboration network that deepens regional ties with the Mainland, as well as international co-operation. Hong Kong’s unmatched connectivity fuels the global expansion of businesses worldwide.

     In official visits across ASEAN (Association of Southeast Asian Nations), the Middle East and Central Asia, I have seen, first-hand, the growing interest in and recognition of Hong Kong as a trusted business partner, international financial centre and platform for collaboration.

     More than access to capital, businesses today are looking for open and progressive financial centres – cities where they can connect with talent, test ideas, build partnerships and compete globally.

     Ladies and gentlemen, despite the wide-ranging uncertainties facing the global economy, I’m confident that Hong Kong’s future will be a future for us all. In business, finance, technology and so much more. 

     If you believe that technology will define the future, if you believe that Asia will continue to drive global economic growth, and if you believe in the transformation taking place across China, then you must believe in Hong Kong’s pivotal place in making it happen. 

     After all, it’s in Hong Kong that you access global capital while remaining close to one of the world’s most dynamic engines of innovation and growth. Hong Kong, where you can take an idea from research to commercialisation, and on into global markets. Hong Kong, the East-meets-West city built on multilateralism, free trade and mutual opportunities. 

     And over the next several days, you can do it all, right here, with the rest of the world. 

     Ladies and gentlemen, I wish you the best of business, finance and fintech at Hong Kong FinTech Week and StartmeupHK.

     And I invite you to make time for Hong Kong, the world’s rising East-meets-West centre for international cultural exchange. 

     Thank you. read more