Mobile Libraries 1, 9 and 10 will suspend services during designated periods in April and May for routine maintenance, a spokesman for the Leisure and Cultural Services Department announced today (March 26). M… read more
Following is the transcript of remarks by the Chief Executive, Mr John Lee, at a media session before the Executive Council meeting today (March 26):
Reporter: First, I would like to follow up on the garbage charging question. Is the current administration still fully committed to this scheme, or is there any alternative to reduce waste production in Hong Kong? And if there is any further change to this scheme, which has actually been cleared by the LegCo years ago, could that deal a big blow to the Government’s credibility because it cannot even hold on its own commitment? And the second question is about, Paul Lam (Secretary for Justice, Mr Paul Lam, SC) has said the Government prepared practical plans if unfriendly actions are taken against Hong Kong after the Article 23 legislation. What are these plans? And what can Hong Kong really do about another country’s jurisdiction? And how are you going to convince the West, the businesses that Hong Kong is still a good place for business? Thank you.
Chief Executive: We all know that it is already law for waste charging to take place. Since this is the law, the Government has to act in order to take forward the implementation of the law. That is why we are seriously working out plans, so as to see, as we roll out the measures eventually, what are the things that we need to address. These include something we want to test in the dry run at these 14 locations. We want to, first of all, test how players understand the law and what they anticipate as the challenges as they go through the actual exercise. We want to see how people’s behaviour in reducing garbage will be. We also want to know the actual behavioural change of people who produce garbage, of the cleansing staff, of the estate management, and of business operators. Since this is already the law, the Government has to think of a serious way of going forward, but we also are willing to listen to views, and we will pragmatically decide the way forward as we go through the exercise and learn from the experience. Also, after listening to the opinions of the players and also of society at large, we will do this exercise seriously. That is why I have set up an interdepartmental working group under the supervision of the Deputy Chief Secretary for Administration, Warner Cheuk, to monitor, supervise and scrutinise the whole exercise and also the actual results that will be gathered as a result of the exercise. We will deal with all this information in a pragmatic manner and then plan the way forward.
I think a government trying to do a job to ensure it will be smoothly carried out, taking heed of public opinions, creates credibility for the government. It will be too early for us to make any conclusion, but I think a pragmatic government, serious about doing all things after listening to people’s views and looking at results, statistics and opinions of the people who are involved, will create the community’s confidence in a government that is doing things for their benefits, taking their interests close to its heart and doing the best to ensure society’s interest is best served. It will increase credibility for the government. That is why I want this exercise to be done, and then we can assess the whole thing to plan the way forward.
As regards overseas attacks against the Safeguarding National Security Ordinance, which has come into effect on March 23, we know that a lot of overseas politicians and organisations, because of their own political interests and purposes, will continue to attack Hong Kong, and they will continue to attack our law, despite the very fact that their own countries have more stringent laws, have more wide-ranging laws, and have more embracing laws to deal with national security offences. Some countries actually have much harsher laws to protect their own national security. A lot of them turn a blind eye to what we have done, when we have so confidently and openly written the protection and safeguards of human rights and freedoms into our law, which may not be the case in their own countries’ laws. They turn a blind eye to all these. Some countries’ senior officials, whether former or present, have sometimes taken pride in saying that they lie, they cheat and they steal, and they have full sets of training courses for all these things. When people do all these attacks, think, not just twice but thrice, who are the people who are saying this. In recent cases, we see that there is evidence to indicate overseas politicians have been actively interfering with Hong Kong affairs. The motives of these people are very clear, but we will ensure that we will continue to explain the merits of our Safeguarding National Security Ordinance, which, on the one hand, is a defensive law to protect our own interests, so that people don’t dare think about breaking into our house to cause harm to our family members and harm our national security; and we will ensure we inform the community at large, both locally and overseas, that we have stringent safeguards to protect human rights and freedoms, which is the international standard as described in the International Covenant on Civil and Political Rights, and the International Covenant on Economic, Social and Cultural Rights. We have so confidently and transparently written all these obligations and standards into our law.
We will, of course, talk to people in the business sector. We have been doing a lot of briefing sessions to chambers of commerce, both local ones and chambers of foreign countries that are stationed in Hong Kong. We will, of course, during our visits to overseas countries, continue to inform the business sector of the advantage of this law, which is to create stability and security, without which no investments can ever hope to thrive, and that with stability and security, then prosperity may come. We will be informing the business sector, officially and unofficially through our network. We will also be co-ordinating people from different sectors, so that when they are overseas on their business trips, or when they form delegations to do their work, they will tell people of different countries, the business sector in particular, what this law is all about – a defensive law to protect ourselves only, that it has full safeguards for protecting human rights and freedoms, and also, ensuring stability and security means good business opportunities for people to come to Hong Kong. We will continue to do that. I am sure that a lot of people who love Hong Kong are very willing to do the same together with the government team to tell the world the advantages and what you will create as a result of the Ordinance.
(Please also refer to the Chinese portion of the transcript.) read more
The following is issued on behalf of the Hong Kong Monetary Authority:
The Hong Kong Monetary Authority (HKMA) wishes to alert members of the public to a press release issued by Bank of Singapore Limited relating to a fraudulent website, which has been reported to the HKMA. A hyperlink to the press release is available on the HKMA website.
The HKMA wishes to remind the public that banks will not send SMS or emails with embedded hyperlinks which direct them to the banks’ websites to carry out transactions. They will not ask customers for sensitive personal information, such as login passwords or one-time password, by phone, email or SMS (including via embedded hyperlinks).
Anyone who has provided his or her personal information, or who has conducted any financial transactions, through or in response to the website, should contact the bank using the contact information provided in the press release, and report the matter to the Police by contacting the Crime Wing Information Centre of the Hong Kong Police Force at 2860 5012. read more
Police today (March 26) appealed to the public for information on a woman who went missing in Ngau Tau Kok. Au Yin-kei, aged 65, went missing after she left her residence in Choi Ying Estat… read more
Following is the speech by the Financial Secretary, Mr Paul Chan, at the Milken Institute Global Investors’ Symposium today (March 26):
Laura (Executive Vice President of Milken Institute International, Ms Laura Deal Lacey), Robin (Chair of Asia, Milken Institute, Mr Robin Hu), distinguished guests, ladies and gentlemen,
Good morning. I am very pleased to be here for the Milken Institute’s inaugural Global Investors’ Symposium. This remarkable event gathers more than 550 senior executives from a broad range of industries. It also connects people around the world, who are joining us online. A very warm welcome to you all.
First, let me thank the Milken Institute for choosing Hong Kong to stage your very first Global Investors’ Symposium. The theme “Thriving Together: Bridging Global Markets” is indeed appropriate for all of us. I believe that Hong Kong is the best place in Asia, if not the world, for “Bridging Global Markets”; for connecting business opportunities and businesspeople such as yourselves.
A warm welcome to Hong Kong
In the next couple of minutes, allow me to update you on our economic situation and its outlook.
Since last year, Hong Kong’s economy has been recovering from the pandemic. In 2023, our economy grew by 3.2 per cent, led by a strong rebound in inbound tourism. Private consumption and overall investment also improved. But high interest rate environment and geo-economic fragmentation had dampened our merchandise exports. Inflation remained at a low level, at around 1.7 per cent, while unemployment was at 2.9 per cent.
We have also made good progress in attracting enterprises and talent to Hong Kong. Since the establishment of the Office for Attracting Strategic Enterprises in December 2022, we have attracted nearly 50 such companies to expand their business here. In the coming years, they will invest more than US$5 billion, creating over 13,000 jobs. Separately, Invest Hong Kong has also attracted more than 380 other companies, which together would invest another US$7 to US$8 billion.
For talent, we have approved around 160,000 applications under the various talent admission schemes since December 2022, and over 100 000 of them have already arrived in Hong Kong.
On the capital front, new money is coming from the Middle East.
Looking ahead, under a complex external environment, the Hong Kong economy is expected to grow by 2.5 per cent to 3.5 per cent in 2024, on account of improvement in merchandise exports, continued recovery of inbound tourism, and inflow of strategic enterprises and talent.
All in all, the Hong Kong economy is solid and growing.
The performance of our asset market, however, was less satisfactory. Residential property prices dropped by nearly 7 per cent last year, while the stock market fell by around 14 per cent, both with reduced trading volume.
This divergence in asset market performance and the underlying economy was caused not just by high interest rate environment, but geopolitical tensions and its impact on capital flow, and investment sentiment. Our policy response is that for the immediate term, bolster confidence; and in the medium to long term: promote high-quality development.
The immediate term measures include removing all demand-side management measures previously imposed on the residential property market; implementing the recommendations of the Task Force on Enhancing Stock Market Liquidity; energising inbound tourism as a handle to further stimulate private consumption; organising more mega events to promote the Hong Kong brand, and providing liquidity, business development and digital transformation support to SMEs (small and medium-sized enterprises).
As to medium to long-term economic development, our strategy is to promote green development and the digital economy, while pursuing the “eight centres” development directions given to Hong Kong under the National 14th Five-Year Plan.
“One country, two systems”: our core advantage
Ladies and gentlemen, the core competitive advantages of Hong Kong are the “one country, two systems” principle and the staunch support from the country.
Under the “one country, two systems” arrangement, Hong Kong is the only city in the world where China advantages and international advantages converge. On the one hand, Hong Kong enjoys priority access to the Mainland market, and is the testing field in China’s gradual opening up of its financial market and internationalisation of the Renminbi (RMB). On the other hand, Hong Kong continues to maintain our own legal system, separate currency, free flows of capital, goods, talent and data, and our unique character as an international city aligning with the best international practices and standards.
These unique advantages allow us to succeed as a “super connector” and “super value-adder” connecting people, capital, companies, projects and opportunities from the Mainland and all over the world.
Hong Kong: an all-round international financial centre
The best illustration of our unique status is our role as an international financial centre. For its many aspects, let me share with you some latest developments.
First, our listing platform. Last year, we set up a task force on enhancing the liquidity of our stock market. Now we are actively taking forward its recommendations. We will further enhance the listing regime by facilitating more quality international issuers and new capital to come to use our platform. We will improve the trading mechanism, lower costs, enhance services to investors and step up market promotion.
Second, mutual market access arrangements with the Mainland. Since the Stock Connect was first rolled out 10 years ago, our Connect Schemes with the Mainland have become broader and deeper. They now cover also bonds, ETFs (exchange-traded funds) and derivatives. Hong Kong is the trusted and preferred platform for international investors to access the Mainland market – over 70 per cent of foreign holdings in onshore equities were held through Northbound Stock Connect.
With the support of the Mainland authorities, we have expanded the scope of Stock Connect to cover international companies so that when they come to list in Hong Kong, they can access both international and Mainland capital. Meanwhile, 24 major stocks in Hong Kong can now be traded in both Hong Kong dollars and RMB. This is an important step forward because holders of offshore RMB now have more choices of investment allocation.
Third, asset and wealth management centre. At the end of 2022, we managed close to US$4 trillion of assets. Two-thirds of the funds are from outside Hong Kong.
We are striving to further enhance our competitiveness in this regard. Just this February, the Mainland authorities launched enhancements to the GBA (Greater Bay Area) Wealth Management Connect. With an affluent customer base of 87 million, our asset and wealth management sector is set to grow further. Meanwhile, to attract more family offices to Hong Kong, we have rolled out a series of policy measures, including tax concessions. We also launched a New Capital Investment Entrant Scheme earlier this month to attract wealthy and entrepreneurial families to come to Hong Kong.
Fourth, offshore RMB business hub. China’s import and export account for some 14 per cent of the global trade, but trade settlement in RMB accounts for just around 4 per cent. As a reserve currency, its share is even lower, at 2 per cent. As the Mainland develops closer economic ties with other regions, demand for RMB will become greater than ever. Here in Hong Kong, we are working to enhance the liquidity, the infrastructure and the ecosystem for offshore RMB business. This will be an area with huge potential for Hong Kong.
Fifth, green and sustainable financing. This is an area that Hong Kong plays a pioneering role in Asia. Over US$80 billion in green debts and bonds were issued in Hong Kong in 2022. Bonds issued here accounted for around one-third of Asia’s total. Meanwhile, there are around 220 ESG (environmental, social, and governance) funds here, representing a year-on-year increase of 24 per cent. The related assets under management have also recorded a year-on-year growth of 20 per cent, reaching over HK$1.3 trillion. And we have been rolling out new and experimental financial products such as tokenised green bonds and securitised green projects.
Just yesterday, we issued a vision statement on developing a sustainability disclosure ecosystem. We strive to be among the first jurisdictions to align local sustainability disclosure standards with the ISSB (International Sustainability Standards Board)’s Sustainability Disclosure Standards.
Finally, virtual or digital assets. They are the new frontier. Hong Kong fully recognises the potential of blockchain in financial innovation. We have issued a policy statement on supporting the responsible and sustainable development of digital assets. Our city is among the first to establish a comprehensive licensing regime for virtual asset service providers with proper investor and consumer protection. The principle is clear: under the “same activity, same risk, same regulation” approach, we put in place proper guardrails so that this financial innovation can flourish. And now we are planning to introduce a regulatory regime on stablecoins.
Concluding remarks
Ladies and gentlemen, I have touched on several areas that are important to Hong Kong as an IFC (international financial centre) of the future. These topics will continue to shape the global business and financial agenda. And Hong Kong will continue to strengthen our “super connector” and “super value-adder” roles in “Bridging Global Markets”. I look forward to hearing more insights from the expert speakers at today’s Symposium.
My heartfelt congratulations again to the Milken Institute for organising this remarkable event. I wish you all a very fruitful day at the symposium and to our visitors, a wonderful stay here in Hong Kong. And to those of you watching the livestream from cities around the globe, please do pay us a visit soon to see first-hand the enormous opportunities on offer here in Asia’s world city. Thank you.
