The Financial Secretary, Mr Paul Chan, announced the 2025-26 Budget, stating that Hong Kong has to leverage the advantages under “one country, two systems” to better integrate into the national development and participate in the joint development of the Greater Bay Area in a proactive manner, and that we have to reinforce our connectivity with both the Mainland and the world, while leveraging synergies with overseas markets, especially those emerging in the Global South, and it is by doing so that we fulfil our roles as “super connector” and “super value-adder”.
As mentioned in the Budget, the Government attaches great importance to the development of the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone. The Hetao Hong Kong Park will enter into operational phase this year. The first three buildings are about to complete and the first batch of tenants from life and health technology, AI, data science and other frontier industries will begin to move in. The Government has earmarked HK$3.7 billion to expedite the provision of infrastructure and public facilities of Phase 1 development, and will invite private development proposals this year with a view to expediting the development of the Park. Upon completion of the whole Hetao Hong Kong Park, its annual contribution to Hong Kong’s economy is expected to reach $52 billion, and about 52 000 job opportunities will be created. In addition, as an international financial centre, Hong Kong will enhance the mutual market access mechanism with the Mainland, and actively explore opportunities to extend the Cross-boundary Wealth Management Connect Scheme in the Greater Bay Area, improve market liquidity, and enrich the risk management toolbox.
The Budget also dedicates a separate section to enhancing collaboration with cities in the Greater Bay Area, highlighting that Hong Kong will enhance collaboration with the Greater Bay Area cities in various aspects, including medical co-operation, data flow and exchange, financial co-operation, youth exchange, co-operation in transport and logistics, co-operation relating to construction industry, legal co-operation, and development of Qianhai. Major initiatives include:
Medical Co-operation
- Seek to establish the Real-World Study and Application Centre by the end of this year, and with the data from the “special measure of using Hong Kong registered drugs and medical devices used in Hong Kong public hospitals in the Greater Bay Area”, aim to accelerate approval for registration of new drugs in Hong Kong, the Mainland and overseas
- Invite healthcare professionals, including those from the Mainland especially the Greater Bay Area, for professional and clinical exchange with local healthcare personnel, and in the long run, establish a regional healthcare talent pool
Data Flow and Exchange
- The facilitation measure on the “Standard Contract for the Cross-boundary Flow of Personal Information Within the Guangdong-Hong Kong-Macao Greater Bay Area (Mainland, Hong Kong)” has already been opened up for participation by all sectors
Financial Co-operation
- Progressively expand the pilot coverage of the Memorandum of Understanding on Cross-Boundary Credit Referencing Pilots to further facilitate cross-boundary financing for enterprises
Youth Exchange
- Relax the requirements of joining the Greater Bay Area Youth Employment Scheme to young people aged 29 or below with sub-degree or higher qualifications
- Increase the limit of allowance for enterprises to $12,000 per month per person for up to 18 months
Co-operation in Transport and Logistics
- 22 airlines and 125 logistics companies have participated in the sea-air intermodal cargo transhipment mode under the co-operation of Hong Kong and Dongguan
- It is expected that the first-phase construction of the permanent facility for the Phase 1 development of the logistics park in Dongguan will be completed this year and the preliminary study of the Phase 2 development will commence shortly
Co-operation Relating to Construction Industry
- Compare and complement the testing and certification requirements between standards in different regions with a view to promoting local application of high-quality and cost-effective construction materials
- Actively leverage complementary advantages of Modular Integrated Construction (MiC) methods and develop MiC as an industry in the Greater Bay Area, and dedicate efforts to research and development, quality accreditation and international marketing of MiC
- Gradually extend the “Professional Title” evaluation mechanism for the first batch of Hong Kong engineering professionals established with the Guangdong Province to other construction-related professions with the right conditions, and collaborate with Guangdong and Macao to formulate Greater Bay Area standards on the skill levels for skilled workers and technicians of the construction sector, and take forward the “One Examination, Multiple Certification” arrangement
Legal Co-operation
- Actively take forward the work in setting up a dedicated platform for Greater Bay Area lawyers to provide better support to the business development and brand building of lawyers
- Promote the establishment of a Greater Bay Area legal information platform to enhance legal information exchange
Development of Qianhai
- The turnover of Qianhai Mercantile Exchange, a subsidiary of the Hong Kong Exchanges and Clearing Limited, exceeded RMB100 billion over the year, which operates the country’s only offshore spot trading platform for soybeans.
- Extend the measures of “allowing Hong Kong-invested enterprises to adopt Hong Kong law” and “allowing Hong Kong-invested enterprises to choose Hong Kong as the arbitration place” to other pilot cities in the Greater Bay Area, providing Hong Kong investors with a more facilitative business environment
- Cyberport has been actively collaborating with the Qianhai Management Authority to facilitate the landing of start-up enterprises at respective parks. So far, some 10 Cyberport enterprises are exploring setting up their operations in Qianhai, whilst two enterprises on AI and digital entertainment from Qianhai have established businesses at Cyberport
- Continue to support Qianhai in trying out new policies on a pilot basis and pursuing more policy innovation and breakthroughs, with a view to promoting the successful policies to the rest of the Greater Bay Area and even the entire country