Hong Kong's Financial Secretary Highlights Opportunities Amid Global Economic Challenges at 30th International Business Summit

Speech by FS at HKGCC International Business Summit (with photos/video)

Following is the speech by the Financial Secretary, Mr Paul Chan, at the HKGCC International Business Summit today (November 28):

Agnes (the Chairman of the Hong Kong General Chamber of Commerce, Ms Agnes Chan), Deputy Director-General Zhou Qiang (Deputy Director-General of the Economic Affairs Department and Head of the Commercial Office of the Liaison Office of the Central People's Government in the Hong Kong Special Administrative Region, Mr Zhou Qiang), Consulate Generals, distinguished guests, ladies and gentlemen,

Good morning. I am delighted to join you all for the International Business Summit today.

This year's edition marks the 30th anniversary of the Summit since its inauguration in 1994. Over the past three decades, the Summit has served as a valuable platform for government officials, industry leaders, members of the diplomatic community and local and foreign chambers of commerce, and to exchange ideas and share insights on a variety of topics, including business environment, technological advancement, and geopolitics.

Today's event puts a bright spotlight on Hong Kong's role under shifting economic gravity. This is just timely as Hong Kong, and our region as a whole, navigate a new wave of global challenges.

A New Wave of Global Challenges

These challenges are, of course, underscored by geo-economic fragmentation. Trends such as "de-risking", "on-shoring" and "friend-shoring" are reshaping the landscape of trade, investment, capital flows and talent flows. They will push up costs, stifle innovation, and disrupt talent exchange, detrimental to global economic progress. Now, the risks are looming larger, as the President-elect of the US (United States) expressed his intention, just this Monday, to impose tariffs not only on China, but also on its two neighbours.

Meanwhile, the world is grappling with higher for longer interest rates, and the clear and present danger of climate change. Both are hard hitting vulnerable populations. The United Nations' Sustainable Development Goals, which seek to eliminate poverty and hunger, provide inclusive education and clean water, and build sustainable, and resilient cities and communities, remain far off track.

The Rise of the Global South

While the challenges are daunting, there are encouraging developments. The dynamics of the global economy are shifting, with the Global South asserting greater influence. It now represents 85per cent of the world's population and nearly 60per cent of global GDP in terms of purchasing power parity. China, and other emerging markets like ASEAN, together account for over 60per cent of global economic growth. Many of these countries are now undergoing structural transformation.

China is pursuing high-quality development, driven by innovation and technology as well as green transition. While international trade environment grows increasingly complex, China has capitalised on the domestic circulation strategy through leveraging its vast consumption market. In fact, China is transitioning from export-led growth to a model that integrates exports, infrastructure development, and private consumption. Recent measures, such as the replacement of domestic appliances, are expected to further stimulate demand.

As for ASEAN, the group has seen annual growth of four per cent over the past decade. With a combined population of over 680 million, it boasts a youthful workforce aspiring for better quality of life. In 2022, nearly half of them were under 30. ASEAN is on track to become the fourth-largest economy by 2030, and is emerging as a vast consumption market.

Then there is the Middle East. Many Gulf countries have set ambitious national development goals. They are investing heavily in infrastructure as well as innovation and technology to diversify their economic structures. These countries have vast resources to invest both locally and globally. In fact, six of the largest 12 sovereign wealth funds are owned by the Gulf countries.

The Role of Hong Kong and Opportunities Ahead

Ladies and gentlemen, these facts reveal that the world is rapidly changing. It may no longer look familiar. But that means opportunities for us, too.

The core competitive advantage of Hong Kong, after all, is the unique "one country, two systems" arrangement. It provides investors and businesses people with a trusted gateway and platform that connect not only China and advanced economies but also the rest of the world, including emerging economies.

Going forward, allow me to share three observations.

First, reinforcing and expanding our connectivity. Traditional markets like the US (United States) and Europe will remain our important sources of capital and investment, and they remain valuable partners with whom we need to further strengthen our ties. During my recent visits to the United States and several European countries, I observed some encouraging signs.

For instance, in the UK (United Kingdom), the new government is eager to re-establish dialogues with China. In the US, despite the growing tensions on the political front, we continue to see significant interest from the financial and business communities in investing in Hong Kong and doing business with China. There is also room for co-operation in various non-sensitive areas, such as infrastructure, green transition, ESG (environmental, social, and governance) and climate-related initiatives.

To tackle misconceptions and biases about Hong Kong, we need to engage proactively, by reaching out to these markets and telling the true Hong Kong story. We need to have more guests to visit Hong Kong so that they can see for themselves the opportunities here. This requires the concerted efforts of the entire Hong Kong team, business sector included.

At the same time, we are opening up more emerging markets. Recently, the delegation I led to Saudi Arabia witnessed the listing of two ETFs investing in the Hong Kong stock market. We signed new deals and co-operation agreements and showcased our promising startups. The "Hong Kong brand", which encompasses our entrepreneurs, world-class professional services, innovative tech solutions, and internationally aligned standards, is well recognised by these markets.

We need to build more bilateral and multilateral relations with emerging markets. This March, we signed an investment agreement with Bahrain, and earlier this month, we signed a free trade agreement with Peru. We have also commenced negotiations on investment agreements with countries like Bangladesh and Saudi Arabia. To capture market opportunities and strengthen both official relationships and people-to-people bonds, we will soon establish Economic and Trade Offices in Kuala Lumpur and Riyadh. The Hong Kong Stock Exchange will also open offices in some of these markets too.

Second, fast-tracking the development of our innovation and technology sector. Hong Kong has long been a leading international financial centre. Financial services will continue to be a key driver of our growth.

Another growth engine is innovation and technology. We concentrate on four strategic areas: AI (artificial intelligence) and data analytics, biotechnology, fintech, and new energy and materials. We take a multi-pronged approach. That includes providing support for research and development, nurturing startups, fostering cross-boundary and cross-industry collaboration, attracting strategic enterprises to Hong Kong, and partnering with sister cities in the Greater Bay Area.

A prime example of collaboration with the GBA is the I&T co-operation zone between Hong Kong and Shenzhen in the Lok Ma Chau Loop area. Just last week, the Government released a development outline for the Hong Kong Park in the co-operation zone, where we will experiment with innovative policies to facilitate the seamless flow of personnel, funds, and data. This will turn the Park into a truly unique ecosystem for innovation and technology, especially AI and biotech.

Third, realigning our role with the shifting industry chain and supply chain in the region. Many enterprises on the Mainland have realigned their industrial and supply chains across different countries in the Global South and along the Belt and Road. They need project and trade financing and effective management of their corporate treasury and logistics activities as well as professional consultancy. Hong Kong offers global capital and talent, and world-class professional services with extensive international connections. We are encouraging Mainland companies to establish international or regional business headquarters, corporate treasury centre, and supply chain management centre in the city. Hong Kong is a "super connector" and "super value-adder".

Closing Remarks

Ladies and gentlemen, it is true that we are navigating an uncertain world. But as a city that has always thrived on changes and challenges, Hong Kong has all it takes to prevail. For that, I'm confident. I'm sure the insights from all the other speakers in the Summit today will further illuminate the ample opportunities that lie ahead for Hong Kong, and for all our international partners.

Finally, I would like to thank the Hong Kong General Chamber of Commerce for organising this Summit.

I wish you all a successful Summit andthe best ofhealth andbusinessin the years to come. Thank you very much.

Speech by FS at HKGCC International Business Summit (with photos/video) Source: HKSAR Government Press Releases

Speech by FS at HKGCC International Business Summit (with photos/video) Source: HKSAR Government Press Releases

First International Ombudsman Summit 2024 in Hong Kong celebrates 35th anniversary of Ombudsman Office

The following is issued on behalf of the Office of The Ombudsman:

The Office of The Ombudsman of Hong Kong will host the inaugural International Ombudsman Summit 2024 on December 3, 2024 (Tuesday) at the Hong Kong Palace Museum, West Kowloon Cultural District. This significant event also marks the 35th anniversary of the establishment of the Office, with an Anniversary Reception planned for the evening to celebrate this important milestone.

The Chief Executive of the Hong Kong Special Administrative Region (HKSAR), Mr John Lee, will officiate at the Closing Ceremony of the Summit and the 35th Anniversary Reception Ceremony, while the Chief Secretary for Administration, Mr Chan Kwok-ki, will officiate at the Summit Opening in the morning. The Director-General of International Cooperation Department, National Commission of Supervision, Mr Cai Wei and Deputy Commissioner, National Public Complaints and Proposals Administration Mr Li Zijun will also attend and give keynote speeches at the Summit.

The Summit, with the theme "Ombudsman in a Changing World: Learning from the Past; Preparing for the Future", will provide a platform for ombudsmen of different jurisdictions and systems, dispute resolution organisations, professionals and academics from all around the globe to exchange insights and share experiences and best practices. It also enables meaningful discussions about the evolving challenges faced by Ombudsman systems and institutions as well as in-depth deliberations on future developments in the field. The Summit will feature three panel sessions, namely "Learning from the Past", "Preparing for the Future" and "Promoting Mediation and Multi-agencies Collaboration in Handling Public Complaints".

The Summit has received an overwhelming response from ombudsmen and institutions worldwide. So far, over 140 overseas and Mainland participants from about 40 countries and regions across six continents, including the First Vice-President of the International Ombudsman Institute, the President of the Asian Ombudsman Association, a multitude of ombudsmen, over 30 consuls, and senior personnel from more than 20 international bodies and local organisations, have enrolled to join the Summit.The International Monetary Fund, the World Bank, the Asian Infrastructure Investment Bank, European Union Office to Hong Kong and Macao, the Badan Arbitrase Nasional Indonesia Arbitration Centre and the Institution of the Mediator of the Kingdom of Morocco are among those international bodies. The Office will also arrange live streaming to facilitate global counterparts' participation in the Summit.

The Ombudsman, Mr Jack Chan, said, "The Summit offers the best occasion for ombudsmen and senior members of institutions from around the world, local, the Mainland and international professionals and academia to share their insights, experiences and best practices. It also provides the best opportunity for Hong Kong to demonstrate our distinctive advantage of having strong support from the motherland and close connection with the world under 'one country, two systems'".

Mr Jack Chan said that the response to the 35th Anniversary Reception has been positive. So far, about 230 guests, including Members of the Executive Council and the Legislative Council, senior government officials, chairpersons of chambers of commerce, and local professionals and academics, have registered to join the event.

With the belief to further enhance quality public administration, the Office is going to sign and exchange a Memorandum of Understanding with representatives from eight countries and regions across five continents. These include Ontario, Canada and Hawaii in North America; Curaçao in South America ; Slovakia in Europe; Indonesia, Korea and Macao in Asia; and Zambia in Africa. The aim is to foster professional knowledge and information exchange, build long-term partnerships, and demonstrate Hong Kong's important role as a "super connector" and "super value-adder".

On the day following the Summit, December 4 (Wednesday), overseas guests will join an array of social and cultural programmes arranged by the Office to experience the exceptional charisma of Hong Kong, as well as its vitality and vibrancy as a dynamic city. One of the key programmes is to visit the Legislative Council (LegCo) and the City Gallery. By touring the conference and educational facilities at the LegCo Complex and meeting and sharing with the LegCo President, various panel chairpersons and LegCo Members, overseas guests can understand better the enhanced political system and legislative procedures of the HKSAR. More than 80 international ombudsmen and senior representatives have enrolled to join this visit.

Other social and cultural programmes include Hong Kong Geopark Tour, City Walk in Central and Mid-Levels, Wing Chun Wellness Workshop, Hong Kong Tram Ride and Night Horse Racing Entertainment. These social and cultural activities can showcase Hong Kong's cultural diversity and its historical heritage as the place where East meets West. They will also provide excellent opportunities for overseas guests to explore Hong Kong's characteristics, appreciate its natural beauty and picturesque sceneries, understand its culture and history, as well as experience her prosperity and resplendence.

Mr Jack Chan said, "These activities can demonstrate the global position of the HKSAR as a cosmopolitan city as well as an international hub of financial, trade, professional services and tourism, and bolster its international image as a diverse and inclusive city that brings the East and West together. The programmes also offer us the chance to tell good stories of our country and Hong Kong to impress the world with our achievements in advancing from governance to prosperity under the 'patriots administering Hong Kong' principle."

Mr Jack Chan emphasised the significance of this event, "Thirty-five years ago, the Office of The Ombudsman embarked on a vital mission to promote administrative fairness, accountability, and transparency. Today, we stay committed to our calling and hold steadfast to the core values that have been guiding us to go from strength to strength; we are resolute in providing better and more fit-for-purpose public services and bring about a stronger sense of happiness and fulfilment among members of the public."

For more information on the Summit and the programm es, please visit the Summit website: www.ios2024.ombudsman.hk and refer to the annex.

First International Ombudsman Summit 2024 in Hong Kong celebrates 35th anniversary of Ombudsman Office Source: HKSAR Government Press Releases