â€‹Following are the opening remarks by the Secretary for Innovation and Technology, Mr Nicholas W Yang, at the STARTIT.Asia Hong Kong 2nd Edition Startup & Ecosystem Mixer today (May 29):
      
Consul General (Consul General of Italy in Hong Kong and Macao, Mr Antonello De Riu), Luca (President of the Italian Chamber of Commerce in Hong Kong and Macao, Mr Luca Cico), Mr Cucino (Chairman of the China-Italy Chamber of Commerce, Mr Davide Cucino), Mr Sbuttoni (Partner at Baker&McKenzie, Mr Paolo Sbuttoni), distinguished guests, ladies and gentlemen,
      
     Good evening. It's my great pleasure to join you again at the STARTIT.Asia. First of all, congratulations to the success of the first edition of STARTIT.Asia last year. It's great to see the programme taking root in Hong Kong. I am also delighted to see so many aspiring technology entrepreneurs from Italy who find Hong Kong the right place to explore business opportunities. This is an excellent testimonial to Hong Kong's ability to attract and blend the best ideas and talents from all over the world. It also helps strengthen the bilateral relationship between Hong Kong and Italy on the innovation and technology (I&T) front.
      
     According to a survey conducted by Invest Hong Kong in 2017, the number of start-ups has grown over 16 per cent, compared to those in 2016. Co-working spaces have been gaining momentum in Hong Kong. Internationally renowned co-working space operators are expanding their presence in Hong Kong, accelerating the innovation and technology ecosystem and disrupting the office leasing market. What's more, co-working spaces offer entrepreneurs an affordable and flexible way to grow and expand their businesses in this Asia's world city.
      
     Hong Kong's innovation and technology infrastructure is also fast developing in the past few years. Three new submarine cables providing direct links between Hong Kong and the US are in the pipeline. Investors include Facebook, Google, Telstra and NEC. They have chosen Hong Kong as a landing point for their huge investments in the three submarine cables, which are the Pacific Light Cable Network, the Hong Kong-Guam and the Hong Kong Americas Submarine Cable Systems. On cloud services, Google is going to open a Google Cloud Platform region in Hong Kong this year. And Amazon Web Services will also launch an AWS region here in Hong Kong. These again show the big players are also placing their bets on Hong Kong as the data hub of the region.
      
     Just a few days ago, Hong Kong was ranked the second most competitive economy globally, out of the 63 economies assessed in the International Institute for Management Development's (IMD) World Competitiveness Yearbook 2018. Among the four main competitiveness factors used in the IMD ranking, Hong Kong maintained the No. 1 position in "Government efficiency" and "Business efficiency", both for the fourth consecutive year.
      
     Hong Kong has unique competitive edges, such as the close proximity to the fast-growing China market, a competitive tax regime, the rule of law, an open and free market and a can-do mindset in the business sector. On top of these, the HKSAR (Hong Kong Special Administrative Region) Government will continue its role as a promoter and facilitator to drive innovation and technology development.
      
     As announced by the Chief Executive in the 2017 Policy Address, we have mapped out a clear direction for Hong Kong's I&T development using an eight-pronged approach. In the 2018-19 Budget, the Financial Secretary unprecedentedly allocated more than $50 billion to accelerate the I&T development in Hong Kong, through nurturing start-ups and promoting industries and R&D collaboration, as well as investing in infrastructure development. The financial commitment and significant investment in both software and hardware help build a vibrant ecosystem for start-ups here in Hong Kong – more than ever before.
      
     Tax incentives will be rolled out with a view to encouraging enterprises to conduct more R&D in Hong Kong. A 300 per cent super tax deduction will be provided to the first $2 million of qualifying R&D expenditure conducted in Hong Kong, and a 200 per cent tax deduction will be provided for the remaining balance. And there is no cap for the amount of tax deduction.  This is a major policy breakthrough for Hong Kong.
      
     In addition, we believe Hong Kong can leverage the world-class R&D capacity of our local universities, particularly in the fields of healthcare technologies and artificial intelligence/robotics technologies. The Government has earmarked $10 billion to support the establishment of two research clusters in the Hong Kong Science Park in these areas, so as to attract world-class scientific research institutions and technology enterprises to Hong Kong, and to join forces with our local universities and research institutions in conducting more R&D projects, nurturing more technology talent in Hong Kong.
      
     In addition, $10 billion is allocated to the Hong Kong Science and Technology Parks Corporation for building shared research infrastructure and facilities, as well as enhancing support for its incubatees and tenants. Another $200 million is allocated to Cyberport for enhancing support for start-ups and boosting the development of a digital technology ecosystem. Cyberport will also strengthen its incubation programme and put forward new measures to attract multinational companies to set up offices and R&D units in Hong Kong.
      
     To meet the needs of the I&T sector, the Government will roll out the Technology Talent Admission Scheme. This pilot scheme, which applies to incubatees and tenants of the Hong Kong Science and Technology Parks Corporation and Cyberport, provides a fast-track arrangement for eligible technology companies/institutes to admit top-notch research and development talent from around the world with a pre-approved quota. Successful companies will also be required to engage three local employees to work in technology areas for every three talents admitted from outside of Hong Kong. I believe the scheme will help augment our talent pool and provide more training and job opportunities for our local people.
      
     Global economic gravity is shifting to Asia. Hong Kong will ride on major national strategies, including the Guangdong-Hong Kong-Macao Bay Area development and the Belt and Road Initiative, which will bring more business opportunities for Hong Kong's economy.
      
     Before I close, I would like to welcome and encourage more Italian entrepreneurs and investors to come to Hong Kong and explore collaboration with our local counterparts. I believe Hong Kong's growing and robust ecosystem will offer a conducive environment for starting or scaling up businesses in the area of innovation and technology.
      
     Last but not least, my best wishes to the five shortlisted Italian start-ups for their upcoming presentations of promising business ideas. Please enjoy the rest of the STARTIT.Asia programme. 
      
     Thank you.

The following is issued on behalf of the Hong Kong Monetary Authority:

     The Hong Kong Monetary Authority (HKMA) and Invest Hong Kong (InvestHK) jointly hosted a seminar on overseas treasury management in Guangzhou today (May 29) to promote the advantages of establishing Corporate Treasury Centres (CTCs) and conducting financing activities in Hong Kong to corporations in Guangdong Province.
 
     The seminar on "Guangdong-Hong Kong-Macao Bay Area – New Opportunities arising from Overseas Treasury Management" covered how corporations in Guangdong Province can make use of Hong Kong's strengths and policies to manage overseas treasury and financing activities as they proactively invest abroad, especially against the backdrop of the Belt and Road Initiative and the Bay Area development.
 
     The seminar was attended by around 100 participants, including the representative of the People's Bank of China Guangzhou Branch and finance professionals from large corporations in Guangdong Province. Senior representatives from the HKMA, Bank of China (Hong Kong) and Deloitte introduced Hong Kong's CTC tax regime, the "Pilot Bond Grant Scheme" and the "Green Bond Grant Scheme", as well as shared insights on various areas including market trends, tax arrangements, bank services and business operations.
 
     The Chief Executive of the HKMA, Mr Norman Chan, said, "Being a premier international financial centre in Asia, Hong Kong is an ideal location for corporates to set up their CTCs and conduct financing activities. Over 100 corporates already benefitted from the CTC tax regime in the first year of its introduction. With the implementation of the Bay Area development, the 'going out' momentum of corporates in Guangdong Province will remain strong. The HKMA will continue to promote and support more corporates in Guangdong Province to 'go out' and set up their CTCs in Hong Kong."
 
     The Director-General of Investment Promotion, Mr Stephen Phillips, said, "Hong Kong offers Mainland and international companies an ideal location with unparalleled connectivity for an Asia-wide business. The benefits of the corporate treasury centre are a key part of the overall attraction for businesses from around the world. As Hong Kong offers new, exciting opportunities arising from the focus on innovation, the Belt and Road Initiative, and the Bay Area development, InvestHK will encourage and support even more companies to set up corporate treasury centres in Hong Kong."

  

     Construction contractors, site supervising teams, front-line supervisors and workers with outstanding safety performance were commended at the 24th Considerate Contractors Site Award Scheme Award Presentation Ceremony today (May 29), the finale of Construction Safety Week 2018.
 
     Officiating at the ceremony, the Permanent Secretary for Development (Works), Mr Hon Chi-keung, said that the setting up of the $1 billion Construction Innovation and Technology Fund could not only promote industry productivity, quality construction and environmental efficiency but also help improve site safety. Meanwhile, the Government is actively promoting the adoption of modular integrated construction, which could save construction time and the hardship of construction workers working outdoors and as a result enhance the working environment and safety at sites. Also, the Government is actively advocating the adoption of off-site manufacturing such as using steel reinforcing bar (rebar) products made by approved rebar prefabrication yards to enhance construction safety. The Construction Innovation and Technology Fund will provide funding to the industry to adopt innovative construction methods and new technologies to take forward the transformation of the industry through automation, industralisation and digitisation.
 
     Also officiating at the ceremony, the Chairman of the Committee on Construction Safety of the Construction Industry Council, Dr Derrick Pang, appealed to all members of the construction team to be considerate in carrying out their respective construction duties in order to achieve the goal of enhancing site safety and the occupational safety and health of construction workers.
 
     Fifty-two sites received awards under the Scheme this year, of which 28 came from the public works stream and 24 from the non-public works stream. There were several award categories, including the Considerate Contractors Site Award (New Works), the Considerate Contractors Site Award (Repair, Maintenance, Alteration and Addition Works), the Considerate Contractors Site Award (Minor Renovation and Maintenance), the Outstanding Environmental Management and Performance Award, the Model Sub-contractor Award, the Model Frontline Supervisor Award, the Best Model Frontline Supervisor Award, the Model Worker Award and the Best Model Worker Award.
 
     Jointly held by the Development Bureau and the Construction Industry Council, the Considerate Contractors Site Award Scheme aims to raise awareness of safety on construction sites and promote good practices in site safety, health and environmental aspects by commending outstanding role models.
 
     The list of awardees of the Scheme this year is available at the Construction Safety Week website (www.safetyweek.hk/web/subpage.php?lang=en&mid=145).

      

The following is issued on behalf of the Transport Advisory Committee:
 
     The Transport Complaints Unit (TCU) of the Transport Advisory Committee received 5 543 complaints and suggestions in the first quarter of 2018, with 31 pure suggestions. The total number of cases represents a decrease of 16.8 per cent as compared with 6 666 cases in the previous quarter and a decrease of 5.6 per cent when compared with 5 874 cases in the same quarter of 2017.
 
     The complaints and suggestions received during the quarter were mostly related to public transport services (86 per cent), enforcement matters (10 per cent) and traffic conditions (2 per cent).
 
     The number of cases on public transport services decreased by 16 per cent from 5 727 in the previous quarter to 4 811 this quarter, while complaints and suggestions on traffic conditions decreased from 136 to 106. Cases about road maintenance increased from 28 to 29 and the number of complaints about illegal parking and other enforcement matters decreased from 747 to 569.
 
     All the complaints and suggestions received by the TCU in the quarter were referred to the relevant government departments and public transport operators for follow-up action.
 
     During the period under review, investigations into 6 501 cases were completed. Of these, 4 620 cases (71 per cent) were found to be substantiated, 76 cases (1 per cent) were unsubstantiated, and the remaining 1 805 cases (28 per cent) could not be pursued due to lack of evidence.
 
     For the substantiated cases, the relevant government departments and public transport operators have either taken steps to rectify the situation or are considering possible solutions to the problems identified.
 
     During the quarter, the relevant government departments and public transport operators took on board 16 suggestions made by the public to enhance public transport services and improve traffic conditions. A summary of the cases is at the Appendix.
 
     Members of the public may make their suggestions or complaints to the TCU by dialling the hotline 2889 9999 (a voice mail service is available outside office hours), by fax to 2577 1858, by e-mail to info@tcu.gov.hk or by filling in a form on the TCU website (www.info.gov.hk/tcu).

     Two men and a woman were fined from $4,000 to $8,000 at Eastern Magistrates' Courts today (May 29) for contravening the Hotel and Guesthouse Accommodation Ordinance.

     The courts heard that in October last year, officers of the Office of the Licensing Authority (OLA), the Home Affairs Department, inspected three suspected unlicensed guesthouses on Des Voeux Road West in Sai Ying Pun, Bonham Strand and Bonham Strand West in Sheung Wan. During the inspections, the OLA officers posed as lodgers and successfully rented rooms in these guesthouses on a daily basis.

     According to the OLA's records, these guesthouses did not possess licences under the Ordinance on the days of inspection. The men and woman responsible for operating the premises were charged with contravening section 5(1) of the Ordinance.

     A department spokesman stressed that operating or managing an unlicensed guesthouse is a criminal offence and will lead to a criminal record. Upon conviction, the offender is liable to a maximum fine of $200,000 and two years' imprisonment.

     The spokesman appealed to anyone with information about suspected unlicensed guesthouses to report it to the OLA through the hotline (Tel: 2881 7498), by email (hadlaenq@had.gov.hk), by fax (2504 5805) using the report form downloaded from the OLA website (www.hadla.gov.hk), or through the mobile application "Hong Kong Licensed Hotels and Guesthouses".