Policy address 2025: Hong Kong unveils measures to boost financial centre status The Hong Kong Monetary Authority (HKMA) is set to encourage more mainland banks to set up regional headquarters in the city, while the local bourse operator plans to enhance the listing regime, as the government aims to fortify Hong Kong’s position as an international financial centre, according to Chief Executive John Lee Ka-chiu. In his policy address on Wednesday, Lee also said the government planned to issue more RMB bonds and was considering using renminbi to settle government expenditures under “suitable circumstances”. He also said authorities would introduce more tax incentives to strengthen the family office and wealth management sectors, alongside measures to support gold and yuan trading in the city. Lee said banks establishing regional headquarters in Hong Kong could leverage their presence in the city to expand into markets like Southeast Asia and the Middle East, providing comprehensive cross-border financial solutions. “We will actively invite the Asian Infrastructure Investment Bank to set up an office in Hong Kong,” Lee said. Established a decade ago, Beijing-headquartered AIIB serves as China’s alternative to the World Bank. The government has earmarked funds to help universities attract top talent researchers and spur innovation and development, similar to the so-called “patient capital” deployed for the long term by the Hong Kong Investment Corporation (HKIC), a government-owned fund. The policy address “underscored the strategic role of HKIC in [the city’s] economic development,” said Oliver Weisberg, CEO of Blue Pool Capital, a Hong Kong-based investment manager and the family office of Alibaba Group Holding’s chairman, Joe Tsai. Lee also said that Hong Kong Exchanges and Clearing (HKEX) would implement reforms to attract new listings from Southeast Asia and mainland China, a move welcomed by chairman Carlson Tong Ka-shing. Lee’s initiatives would “further broaden Hong Kong’s financial market diversity with the expansion of products in the equity, fixed income, currency, commodity and carbon space”, said HKEX CEO Bonnie Chan Yiting. Lee said the government aimed to complete by early next year a study on how to use tax incentives to attract mainland firms to establish corporate treasury centres and regional headquarters in Hong Kong, allowing them to explore overseas markets and build international brands. Lee also supported the introduction of more gold products, including tokenised gold and gold funds, as well as the exploration of cross-border gold trading between Hong Kong and Shanghai. The government will support the Airport Authority and financial firms in establishing storage facilities for more than 2,000 tonnes of gold within three years. The central clearing system aimed to transform Hong Kong into an international gold trading hub connecting mainland and global investors, the source said, adding that international investors were increasingly turning to gold for risk mitigation amid geopolitical tensions. Haywood Cheung Tak-hay, chairman of the Hong Kong Gold Exchange, said with gold prices reaching record highs, now was an opportune time for the city to develop into a trading centre for the precious metal. “Gold is a hot topic in global investment markets, making it timely for the city to expand its gold trading facilities,” he said. The government would also introduce a yuan business facility to promote the use of the Chinese currency in the real economy, Lee said. “We have a very vibrant offshore renminbi ecosystem in terms of products, interest rates, foreign exchange rates and risk management,” Chan said on Wednesday at the Investopia Global conference in Hong Kong. He added that the city served as a connector between China and the world, offering various yuan products for UAE investors and companies. Lee also announced plans for Hong Kong to develop a sustainable aviation fuel (SAF) industry chain and set an SAF consumption ratio for flights departing from Hong Kong International Airport by 2030. As part of those efforts, the government would collaborate with mainland authorities to enable a local enterprise – described as one of the world’s leading SAF suppliers – to expand its operations in the Greater Bay Area, Lee said. https://www.scmp.com/business/banking-finance/article/3325891/policy-address-2025-hong-kong-unveils-measures-boost-financial-centre-status (ICE HONG KONG)

Fonte notizia: South China Morning Post