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     Following is the video speech by the Financial Secretary, Mr Paul Chan, at the 15th Asian Financial Forum held online today (January 11):
      
Distinguished guests, ladies and gentlemen,  
      
     Good morning from Hong Kong.
      
     I’m pleased to welcome you to day two of the 15th Asian Financial Forum. This year’s Forum is again taking place online. I’m told it’s attracting some 66 000 viewers from more than 80 economies. As senior decision makers, you are all here for insight and intelligence on the economy, your business, your future.
      
     Major regional and international events, and business and finance everywhere, are turning online to stay connected, relevant and ready for whatever this year may bring us. That reality has become an essential element in navigating the next normal towards a sustainable future – the salient theme of this year’s Forum.
      
     Given that the pandemic is entering its third troubling year, you’re likely tracking the World Health Organization and international financial institutions, alongside events such as this Forum, in weighing business and investment prospects.
      
     Allow me, for the next few minutes, to talk about Hong Kong – how we’re working to ensure a sustainable future for our economy and our community. And, in the process, create opportunity for you and your future.
      
     Economic and social development will power Hong Kong’s fortunes this year, and for many years to come. This has been made possible thanks to, first and foremost, the major breakthrough in our local political development in the last two years.
      
     To begin with, we secured the implementation of the National Security Law in Hong Kong in 2020, which has since restored order and stability to our society and our economy. Then came the enhancements to our electoral system, under which two elections have recently been successfully concluded, putting an end to the previous chaos and political impasse in Hong Kong.
      
     Together, these developments not only cemented the foundation of “one country, two systems” and provided maximum safeguards for Hong Kong to harness the strengths under the arrangement, but also reshaped the landscape of good and effective governance and propelled Hong Kong into a new development phase, where we can focus on the future – on building a flourishing economy, and a more cohesive community, for our city.
      
     On the national front, in the face of the continuing China-US tension, the 14th Five-Year Plan for national economic and social development advocates a new development strategy of “dual circulation”, whereby domestic circulation as the mainstay would be supported by external circulation, with the domestic and external markets reinforcing each other. Leveraging our unique advantages under “one country, two systems”, Hong Kong has much to contribute to and benefit from this dual circulation strategy.
      
     Also driving Hong Kong forward is the recent initiative to deal with two fundamental issues that have long constrained our economic and social development, namely economic diversification as well as land and housing shortage.
      
     The development of the Northern Metropolis as announced in the Policy Address last year would provide practical answers to these problems. The visionary development strategy entails “dual-core planning”, whereby financial services, our most competitive sector, will continue to develop from its current stronghold, i.e. the Harbour Metropolis in the southern part of our city. Meanwhile, our new engine for economic development, i.e. innovation and technology, will be positioned at the Northern Metropolis.
      
     This development blueprint will provide Hong Kong with the much needed solution spaces. It will not only guide the development of related infrastructure, facilities and supporting services to build a convenient, liveable and green community for our people, but also broaden the foundation of our economy by fostering the development of the innovation and technology sector. On a broader and deeper level, the blueprint maps out enhanced intercity co-operation with our neighbouring cities in the Greater Bay Area, particularly Shenzhen, a leader in the tech sector with strengths complementary to that of Hong Kong. The Northern Metropolis will be the key powerhouse for this synergistic collaboration.
      
     We indeed have much to work with. Hong Kong is the only city in the world to offer a secure, dynamic and prosperous environment for business and direct access to the Mainland market.
      
     The National 14th Five-Year Plan also sets out the long-range objectives of the country through the year 2035, and strategically affirms the role and positioning of Hong Kong in the overall development of our country, presenting opportunities in various areas of importance. Of all the specific roles of Hong Kong, the support of which has been reaffirmed or established, the one of particular relevance to us on this occasion is Hong Kong’s continued expansion as an international financial centre, encompassing the strengthening of our status as a global offshore Renminbi business hub as well as an international asset-management and risk-management centre.
      
     While a lot of developments on this front have already been covered in the remarks of the Chief Executive yesterday, I intend to give more colour to three key areas which are worth elaboration.
      
     First, the tremendous opportunities for Hong Kong’s financial market arising from the Mainland’s continuing development.
      
     Thanks to the support of the Central Government, Hong Kong remains the world’s biggest offshore Renminbi business hub and Renminbi clearance, product and fund centre. We also run the world’s largest offshore Renminbi foreign exchange and interest-rate derivatives market and enjoy a leading position in Renminbi settlement, financing and asset-management.
      
     Looking forward, we will take forward a number of initiatives to develop an even more vibrant offshore Renminbi ecosystem in Hong Kong, including further building up the offshore Renminbi liquidity pool, increasing the utilisation of the Renminbi in various forms, encompassing Renminbi bonds, loans, equities and other securities products, as well as strengthening our Central Moneymarkets Unit and developing it into an international central securities depository in the long run.
      
     Opportunities also flow from the mutual market access between the Mainland and Hong Kong. In the past few years, various Connect schemes have been launched successively, including Stock Connect, Bond Connect and the mutual recognition of funds between the Mainland and Hong Kong. With the inclusion of Renminbi-denominated assets in major international financial market indices, the average trading volume of the Stock Connect transactions last year reached about RMB120 billion a day, an increase of 32 per cent over the previous year. On the other hand, the number of Mainland bonds held by overseas institutions through the “Northbound Connect” and other channels of Bond Connect exceeded RMB3.9 trillion by end of 2021.
      
     And we will continue with our effort to widen and deepen this mutual market access.As you know, Southbound Trading under the Bond Connect was launched in September. It expands the Connect family’s product offerings, allowing onshore investors to diversify their asset allocation. It also creates enormous opportunities for Hong Kong’s financial sector, enhancing our attractiveness as a bond-issuing centre, while boosting the internationalisation of the Renminbi.
      
     Meanwhile, with the promise of mutual market access programmes, investor demand for risk-management tools is also on the rise. Our stock exchange responded in October last year, launching the MSCI China A 50 Connect Index futures contract. Formally approved by the Mainland, the contract is an offshore, A-share index futures product. The market response has been phenomenal, with the average daily trading volume hitting more than 19 000 contracts in December, five times the size of that in October. The product should serve as a valuable risk-management tool for offshore investors, while diversifying Hong Kong’s financial product offerings.
      
     The mutual market access has been brought to another level with the launch of Wealth Management Connect in the Guangdong-Hong Kong-Macao Greater Bay Area in October. Targetting individual investors, the scheme creates huge opportunities for our financial and professional services sectors and has been well received to date. We are working closely with relevant authorities to ensure its smooth operation, while considering further expanding the depth and width of the scheme.
      
     Before I move on, I should complete the picture by mentioning the much anticipated return of the China concept stocks. With Mainland companies seeking to grow still hoping to explore international financing, yet in the face of increasing regulatory uncertainty in the US, it is likely that we would see more China concept stocks return from the overseas market. We are actively making preparations for that, including the recent enhancements to our secondary listing regime, both in terms of lowering the listing threshold and relaxing the qualifications restrictions, which would boost our competitiveness in attracting more of such stocks to get listed in Hong Kong.
      
     The second key area to highlight here is our continuous effort and determination to further develop our financial market.
      
     Building a diversified, vibrant and sustainable fundraising platform with a view to elevating the platform’s overall competitiveness has always been our focus. Other than implementing a new listing regime for special purpose acquisition companies (SPACs) and the enhancement of the secondary listing regime just mentioned, we have also been actively seeking to promote the further development of our bond market.  
      
     To this end, I have led a steering group comprising financial regulators and market experts to drive effort on this front. Drawing from their collective wisdom, the group had come up with strategies and initiatives, which would certainly help us chart a rewarding way forward.
      
     Worth mentioning here is that while the various debt issuances have the main objective of promoting the bond market thereby benefitting the financial industry, we have always kept in mind the importance of also having the general public share the fruit of such market developments. The issuance of our inflation-linked retail bonds and Silver Bonds last year were vivid examples of this. On the horizon is the issuance of our first-ever retail green bonds, which will not only provide an avenue for the public to invest but also raise public awareness of green finance as well as promote green economy.
      
     Another important area we are eyeing which has been gaining steam around the world is infrastructure financing. Seizing the opportunities offered by significant developments in the region, the Hong Kong Monetary Authority (HKMA) already established back in 2016 the Infrastructure Financing Facilitation Office to act as a useful platform for facilitating infrastructure investment and their financing. The effort was complemented in 2019 by the setting up of an Infrastructure Financing and Securitisation business, which is given the mandate to purchase and co-finance infrastructure loans and securitise them after accumulating a diversified portfolio. Within a short time frame, we have made significant progress in acquiring and warehousing many infrastructure loan assets, across various sectors and geographies, paving the way for the launch of their securitisation. This would help mobilise market liquidity into an attractive alternative asset class and at the same time help fill market gaps in infrastructure financing.
      
     The third key area which is central to Hong Kong’s financial services future is the development of financial technology, or fintech.
      
     Our central bank equivalent, HKMA, announced the Fintech 2025 strategy in June, one strategic direction under which is to strengthen research work on central bank digital currency (CBDC) with a view to future-proofing Hong Kong in terms of its readiness in this area. Apart from the continued and expanded collaborative effort with peer central banks on cross-border application of wholesale CBDC, the HKMA has started a study on the prospect of issuing retail CBDC in Hong Kong.
      
     In the meantime, the HKMA and the Digital Currency Institute of the People’s Bank of China are actively testing the use of digital Renminbi for cross-boundary payments. The results, to date, are encouraging. The next phase of technical testing includes expanding the participation of Hong Kong banks and topping up the digital Renminbi wallet via our Faster Payment System.
      
     I’m hopeful that the digital Renminbi, or e-CNY, will offer an additional means of safe, convenient and innovative cross-boundary retail payment for residents in Hong Kong and the Mainland, while promoting the interconnectedness of the Greater Bay Area.
      
     The HKMA and the People’s Bank of China also signed an MOU in October linking the Bank’s Fintech Innovation Regulatory Facility with the HKMA’s Fintech Supervisory Sandbox. The network initiative may allow financial institutions and technology companies to conduct fintech trials in Hong Kong and other Greater Bay Area cities, expediting the launch of fintech products and lowering development costs.
      
     Already, 10 banks in Hong Kong have expressed interest in the network and its cross-boundary fintech initiatives. About half are focused on Wealth Management Connect opportunities.
      
     Before I close, I should also briefly highlight a promising development in regard of our effort in investing into the future. An investment portfolio named Hong Kong Growth Portfolio (HKGP) was set up last year for making strategic investments in projects with a Hong Kong nexus, with a view to reinforcing Hong Kong’s status as a financial, commercial and innovation centre and raising Hong Kong’s productivity and competitiveness in the long run, while seeking reasonable risk-adjusted returns. All mandates for the strategic investment have been successfully allocated to a total of eight general partners, which have diverse experience in investing in a wide spectrum of industries. We look forward to the support of HKGP for worthwhile local projects to the long-term benefit of Hong Kong.
      
     The above are just some examples of how Hong Kong is consolidating our strengths as an international financial centre, capitalising on our ever-deepening ties with the Mainland. The end result will, I’m confident, create mutually rewarding relations between the Mainland and Hong Kong and, through Hong Kong, the world at large.
      
     Ladies and gentlemen, I wish you the best of business, investment and health in 2022. And I look forward to seeing you, right here in Hong Kong, at next year’s Asian Financial Forum.
      
     Thank you. read more

The following is issued on behalf of the Hospital Authority:      During the winter surge, the Hospital Authority closely monitors the service demand of Accident and Emergency Departments and the occupancy rates in public hospita… read more

     The Government yesterday (January 10) exercised the power under the Prevention and Control of Disease (Compulsory Testing for Certain Persons) Regulation (Cap. 599J) to make a “restriction-testing declaration” effective from 7pm yesterday, under which people (hereafter referred to as “persons subject to compulsory testing”) within the specified “restricted area” in Lai Chi Kok (i.e. 5-7 Nassau Street, Mei Foo Sun Chuen Phase 5, Lai Chi Kok) were required to stay in their premises and undergo compulsory testing. Persons subject to compulsory testing were required to stay in their premises until all such persons identified in the area had undergone testing and the test results were mostly ascertained. Moreover, the Government issued a compulsory testing notice yesterday, requiring persons who had been present at the above building for more than two hours from December 28, 2021 to January 10, 2022, even if they were not present in the “restricted area” at the time when the declaration took effect, to undergo compulsory testing on or before January 12, 2022. The Government announced the completion of the compulsory testing exercise at around 7am today (January 11) and carried out enforcement action in the “restricted area” afterwards to verify that all people in the “restricted area” had undergone compulsory testing in accordance with the requirements of the relevant declaration and compulsory testing notice. The Government announced that the enforcement operation ended at around 9.30am today.
      
     In this exercise, the Home Affairs Department (HAD) (including the Sham Shui Po District Office), the Hong Kong Police Force, the Department of Health, the Food and Environmental Hygiene Department, the Electrical and Mechanical Services Department and the Auxiliary Medical Service mobilised around 140 staff to arrange for implementation of the declaration and enforcement actions for breaches of the compulsory testing notice issued earlier.
      
     The Government provided simple food for persons subject to compulsory testing, including canned food, cup noodles and corn kernels, so as to facilitate the dinner arrangements of some persons subject to compulsory testing. One box of masks and hand sanitizer were also provided to each person subject to compulsory testing to help them fight against the virus.
      
     The HAD also set up a hotline for people restricted by the declaration to make enquiries and seek assistance.
      
     The Government thanks persons subject to compulsory testing for their support and understanding. With everyone’s co-operation and efforts, coupled with the tireless efforts of the testing contractors, residents have been informed about their testing results by SMS notification. After finishing the compulsory testing exercise at around 7am today, the Government took enforcement action in the “restricted area” immediately to verify that all people in the “restricted area” had undergone testing according to the requirements of the declaration and the compulsory testing notice. Persons who could present an SMS notification containing a negative testing result or wore a wristband as proof of having undergone the compulsory testing could leave the “restricted area” through the designated exit after providing personal information to a prescribed officer. The enforcement operation was completed at around 9.30am. Test records of around 200 persons subject to compulsory testing were checked. One person was found not having undergone compulsory testing and a compulsory testing order was issued to him. Taking into account the above situation, the Secretary for Food and Health revoked the “restriction-testing declaration” in accordance with Cap. 599J (see attachment).
      
     The Government reminds the about 10 households who have not answered the door to contact the Government for arrangement of testing as soon as possible after reading the notices put up by the Government, in the hope of eliminating the possible risk of further spread of the virus in the community.

     The Government thanks all participating government staff and the testing agencies for their hard work. The Government is also grateful to those subject to compulsory testing for their support and understanding, and their full co-operation during this period in undergoing testing and waiting for the results at home.

     The Government will seriously follow up on the compliance situation of the compulsory testing notices and the “restriction-testing declaration” by persons subject to compulsory testing. Any person who fails to comply with the compulsory testing notices commits an offence and may be liable to a fixed penalty of $5,000. The person will also be issued with a compulsory testing order, requiring him or her to undergo testing within a specified time frame. Failure to comply with the order or the “restriction-testing declaration” is an offence and the offender may be liable to a fine of level 4 ($25,000) and imprisonment for six months. read more

     Police located a man who went missing in Yuen Long.

     Chan Chun-chi, aged 34, went missing after he was last seen on Kau Yuk Road on January 9 morning. His family made a report to Police yesterday (January 10).

     Police located the man on Bride’s Pool Road in Tai Po yesterday. He sustained no injuries and no suspicious circumstances were detected. read more

     The Government yesterday (January 10) exercised the power under the Prevention and Control of Disease (Compulsory Testing for Certain Persons) Regulation (Cap. 599J) to make a "restriction-testing declaration" effective fr… read more