Number of registered companies in Hong Kong reaches record 1.56 million in 2025 Hong Kong’s corporate landscape expanded to unprecedented levels last year, with the total number of local registered companies reaching a record of nearly 1.56 million by the end of 2025. “By the end of 2025, the total number of local companies and redomiciled companies registered under the Companies Ordinance increased by 96,609 compared with 2024, reaching 1,557,103,” the Companies Registry said on Friday, noting that it was “an all-time high figure”. Among the total in 2025, 195,343 were newly registered local and redomiciled firms, while 99,406 were dissolved over the same period. The increase in local firms occurred alongside a significant rise in non-Hong Kong companies establishing a place of business in the city. By the end of 2025, the number of such firms stood at 15,586, up 3 per cent from 2024, with 1,532 newcomers registered during the year. A key driver of this momentum was the company redomiciliation regime, implemented last May 23, which allows non-Hong Kong incorporated companies to relocate their registration to the city. “The company redomiciliation regime … has received a positive market response,” the registry said. “It ensures seamless business continuity and strengthens Hong Kong’s competitiveness as a global business and financial hub.” By the end of 2025, the registry received more than 420 inquiries and 30 applications regarding the new mechanism. Among these, six non-Hong Kong corporations incorporated in Luxembourg, the Cayman Islands or Bermuda, including an insurance company, were successfully redomiciled to the city. While the registry did not name specific entities, the past year also saw high-profile moves from major conglomerates. State-owned China Resources Group saw two of its listed units, China Resources Beverage and China Resources Building Materials Technology, propose reincorporating from the Cayman Islands to Hong Kong, to reduce compliance costs and align with their business focus. The registry said the regime allowed companies to relocate “by eliminating the need for complicated and costly judicial procedures while preserving a company’s legal identity”. Billy Mak Sui-choi, an associate director of the Centre for Corporate Governance and Financial Policy at Baptist University, dismissed concerns about money laundering or economic weakness over the number of dissolved companies. He said strict banking controls made it “actually difficult” to open corporate accounts for illicit purposes. Mak added that the churn often reflected standard practices in sectors such as property development, where specific entities were created for individual projects to manage risk. “If the project has problems or cannot complete, etc, you just need to dissolve that subsidiary.” On the rise of redomiciled firms, he said that the implementation of a global minimum tax rate at 15 per cent had diminished the appeal of tradition offshore jurisdictions. “In the past, many companies registered in tax havens [and] planned to avoid tax, but now it is of no use,” Mak said. “Therefore, the high or low tax rate they consider is not the primary consideration.” Mak noted that for businesses with operations concentrated in the city or mainland China, such as insurance firms, moving the domicile back to Hong Kong was “more suitable for the market’s needs and operational needs”. Beyond corporate registrations, the financial sector recorded strong growth in fund structures. The total number of open-ended fund companies (OFCs) surged 43.2 per cent to 676 by the end of 2025, following 210 new incorporations during the year. The main purpose of an OFC is to serve as an investment fund vehicle and manage investments for the benefit of its shareholders. Operational activity at the registry reflected this expansion. The number of documents delivered for registration rose by 7 per cent to 3,360,723, while electronic searches of document image records increased by 0.7 per cent to over 5.22 million. In the lending and trust sectors, the registry granted 760 new licences to trust or company service providers, bringing the total to 7,220. In addition, the Licensing Court granted 155 new money lenders’ licences, with the total number of licensed lenders reaching 2,015 by year end. https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3340175/number-registered-companies-hong-kong-reaches-record-156-million-2025 (ICE HONG KONG)

Fonte notizia: South China Morning Post