Newsletter

October 2021

Dear friends,

Here is the latest issue of Hong Kong Files, a newsletter published by the Hong Kong Economic and Trade Office that contains major news on Hong Kong and our office.

You are welcome to share the information with colleagues and interested parties.

Upcoming activities highlights

The Landscape for Consumer Products and Hospitality Businesses – Indonesia, Hong Kong and the Greater Bay Area Logistics plays a pivotal role in contributing to economic development and growth in many parts of the world, including both Hong Kong and Indonesia. As cross-border e-commerce and the corresponding needs for logistical support continue to grow at unprecedented pace, it is worth noting that an increasing number of retailers are choosing Hong Kong as their base location. This webinar on 25 November will showcase the latest development/ initiatives on Hong Kong’s role as an international supply chain and logistics hub, as well as its competitive edges in the development of the Guangdong-Hong Kong-Macao Greater Bay Area and the benefits that Hong Kong can offer to Indonesian supply chain and logistics enterprises to expand their business footprints and move up to the global and regional supply and value chains.

Latest Developments and updates

CE delivers 2021 Policy Address Our Chief Executive, Mrs Carrie Lam, delivered her fifth Policy Address to set out her plan for the future of Hong Kong on 6 October. Under the theme of "Building a Bright Future Together", the policy address proposed initiatives across a wide spectrum of policy issues, including the “One Country, Two Systems” practice, enhancing governance, housing & land, new impetus to the economy, building a liveable city, talent & youth development and improving people’s livelihood. With the support and leveraging the Central Government's policies in support of Hong Kong, including the National 14th Five-Year Plan, the Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area (GBA), and the Plan for Comprehensive Deepening Reform and Opening Up of the Qianhai Shenzhen-Hong Kong Modern Service Industry Co-operation Zone, our city can give full play to our unique strengths, which will in turn bring continuous impetus to the economy. Hong Kong has all along been a confluence point for aspiring entrepreneurs and talents, both domestically and from overseas, and our Government spares no effort in ensuring a conducive field for such. Facilitative policies and measures are in place to boost talent movement and interaction, including world-class infrastructural developments like our airport and ports, efficient immigration and customs regimes, supports for start-ups, as well as dedicated arrangements such as our Quality Migrant Admission Scheme. There is indeed so much exciting development and opportunities available in Hong Kong for the ASEAN. Read more: Chief Executive's 2021 Policy Address full text and Highlight CE outlines bright future for Hong Kong in Policy Address CE targets priority areas for economic development CE welcomes promulgation of Qianhai Plan and Hengqin Plan SCED briefs representatives of local chambers of commerce on Policy Address initiatives DG’s letter: 2021 Policy Address – Unlimited Opportunities in Hong Kong for the ASEAN
Hong Kong Business Environment – Unique Advantages and Unlimited Opportunities The HKSAR Government published "Report on Hong Kong's Business Environment: A Place with Unique Advantages and Unlimited Opportunities". The Report reviews and sets out Hong Kong's current business environment and advantages following the events over the past two years, and describes the development opportunities available to Hong Kong under the country's new phase and pattern of development. Our financial market has remained stable, and the Linked Exchange Rate System and various segments of the financial market have been functioning well. There have been net capital inflows into the Hong Kong dollar market. The banking system has remained robust, with the capital adequacy ratio and the classified loan ratio staying at healthy levels. The financial services sector is on a positive trend, and financial institutions will continue to proactively grasp development opportunities in Hong Kong and the Mainland. In fact, many international financial institutions, including insurance companies, banks and wealth management companies, continue to expand their business in Hong Kong, and at the same time foreign chambers of commerce remain confident in Hong Kong’s business environment. Looking ahead, the shift in global economic gravity to the East will be sustained. With our unique positioning provided by the National 14th Five-Year Plan, together with the GBA development, Hong Kong presents new impetus for economic development. We hope our ASEAN friends would ride on the overall development direction to grasp the new development opportunities and share the fruits of development. Read more: Report on Hong Kong's Business Environment: A Place with Unique Advantages and Unlimited Opportunities DG’s letter: Hong Kong Business Environment – Unique Advantages and Unlimited Opportunities
Hong Kong: Freest economy and top global financial centre Hong Kong remains one of the best places for business and finance in the world. Our city has retained its position as the world’s freest economy in the latest Economic Freedom of the World: 2021 Annual Report again in September, and has been ranked No.1 continuously since the index was launched in 1996. The index, which measures the economic freedom of 165 economies worldwide based on 5 broad areas, ranked HK top for both “Regulation” and “Freedom to Trade Internationally”, reflecting our city's commitment to building a free economy and level playing field. Hong Kong also rose one place to rank No.3 in the latest Global Financial Centres Index published in September. Covering 116 international financial hubs, the bi-annual survey gave Hong Kong high marks for human capital, infrastructure, financial sector development, fintech and reputation.
Landmark HK-Mainland Wealth Management Connect Scheme launched The much-anticipated Cross-boundary Wealth Management Connect pilot scheme was launched in September. It provides a more convenient channel for residents to invest in wealth management products in the Guangdong-Hong Kong-Macao Greater Bay Area. The scheme will create new business opportunities for domestic and international financial institutions in the three places, facilitate cross-boundary investment and provide more options of wealth management products for residents in the GBA, thereby further promoting the cross-boundary circulation and use of renminbi. Read more here.
ASEAN economic ministers welcome Hong Kong to seek accession to RCEP At the ASEAN Economic Ministers - Hong Kong, China Consultations on 14 September, ministers of ASEAN Member States welcomed Hong Kong to seek accession to RCEP. During the meeting, Secretary for Commerce and Economic Development, Mr Edward Yau, said that Hong Kong's accession to RCEP would provide an additional platform for promoting trade and investment between ASEAN and Hong Kong. It would also help further consolidate the regional supply chain, providing more access and choices of high-quality services to enterprises in the region. ASEAN as a bloc is Hong Kong’s second largest trading partner. Despite COVID-19, bilateral trade between Hong Kong and ASEAN continued to record robust growth. Trade in goods between the two sides jumped by 21% y-o-y in the first half of 2021, reaching a total of HK$589.7 billion. Read more about Hong Kong and ASEAN trade relations here.
Fly through M+ M+, Hong Kong’s new museum of visual culture opens to the public on 12 November. Ahead of what promises to be one of the most anticipated events of the year, watch a drone video to get an exclusive view of the museum’s spectacular interior, galleries and rooftop garden as we make the final preparations for the public opening. We look forward to welcoming you to M+ soon. M+ is a new museum of visual culture in Hong Kong featuring 20th and 21st century art, design and architecture, and moving image.
Digital Art Fair Asia The Digital Art Fair Asia in Hong Kong presents immersive digital, new media and non-fungible token crypto art by renowned artists working in this field.