HONG KONG CONNECT



	The Chief Executive of the Hong Kong Special Administrative Region, Mr John Lee, delivered his third annual Policy Address, entitled “Reform for Enhancing Development and Building Our Future Together” on 16 October, setting out a range of initiatives to create new impetus for economic development, improve people’s livelihood and enhance their quality of life. Some of the major initiatives are set out below.

	Consolidate and enhance our advantages To further consolidate Hong Kong’s status as an international asset and wealth management centre, the Government will make every effort to attract more global capital to be managed in Hong Kong, including enhancing the New Capital Investment Entrant Scheme. Effective on 16 October, investment in residential properties is allowed under the Scheme, provided that the transaction price of the residential property concerned is no less than HK$50 million, with the amount of real estate investment to be counted towards the total capital investment capped at HK$10 million. In addition, investments made through an eligible private company wholly owned by an applicant will be counted towards the applicant’s eligible investment with effect from 1 March 2025. The Government will promote the development of world-class gold storage facilities, facilitating the storage and delivery of spot gold by users and investors in Hong Kong, and driving demand for related services such as collateral and loan businesses, opening up new growth areas of the financial sector. A working group will be set up to take forward the establishment of an international gold trading centre. The Government will also step up efforts to bring in strategic enterprises from outside the city to establish headquarters or corporate divisions in Hong Kong. The Financial Services and the Treasury Bureau will submit a bill this year to introduce a company re-domiciliation mechanism obviating the need for companies intending to re-domicile in Hong Kong to be wound up in its original domicile overseas and establish a new company in Hong Kong. The companies will be able to preserve their legal identity and business continuity, saving cost as a result of the simplified procedures. Moreover, the validity period of multiple-entry visas for foreign staff of companies registered in Hong Kong, including non-permanent residents, will be extended to a maximum of five years to facilitate their visit to the Mainland, and their applications will enjoy priority processing. In respect of the trade sector, to promote liquor trade and boost the development of high value-added industries, the Government will, starting on 16 October, reduce the duty rate for liquor with an import price of over HK$200 from 100% to 10% for the portion above HK$200. Develop new quality productive forces Apart from trade, the Government is also striving to expedite Hong Kong’s development into an international innovation and technology (I&T) centre. On top of the additional investment put in over the past two years, a HK$10 billion I&T Industry-Oriented Fund will be set up to guide more market capital to invest in specified emerging and future industries of strategic importance, including life and health technology and artificial intelligence. The InnoHK research clusters have become home to about 2 500 research and development (R&D) personnel from Hong Kong and around the world. The Government has already started preparatory work to establish the third InnoHK research cluster, which will focus on advanced manufacturing, materials, energy and sustainable development. The target is to attract world-class R&D teams to collaborate with local institutions, promoting R&D and bringing in talents. The Government will also launch the I&T Accelerator Pilot Scheme with a funding allocation of HK$180 million at a one-to-two matching ratio between the Government and the institution, up to a subsidy ceiling of HK$30 million. The Scheme aims to attract professional start-up service providers with proven track records in and beyond Hong Kong to set up accelerator bases in Hong Kong, fostering the robust growth of start-ups. Build Hong Kong into an International Hub for High-calibre Talents To build a quality talent pool for development, the Government will reform various aspects of the talent admission regime, including: Updating the Talent List to include talents required for development of the “eight centres”^*; Expanding the list of universities under the Top Talent Pass Scheme to 198 universities by adding 13 top Mainland and overseas universities, and extending the validity period of the first visa of high income talents under the scheme from two years to three years; Introducing a new mechanism under the Quality Migrant Admission Scheme, proactively inviting top notch talents to come to our city for development, promoting Hong Kong as the focal point of international high calibre talents. The Government is also committed to developing Hong Kong into an international hub for post-secondary education. Relevant measures include creating the “Study in Hong Kong” brand to host international education conferences and exhibitions. The Government will also encourage local post-secondary institutions to enhance collaboration and exchange with their counterparts around the world in promoting the “Study in Hong Kong” brand on a global scale, and to attract more overseas students to study in Hong Kong through the provision of scholarships and other incentives.

	For a comprehensive overview of the Chief Executive’s 2024 Policy Address and additional resources, please find the full document, supplement, highlights leaflets and relevant press releases of the 2024 Policy Address at the hyperlinks.

	* The eight centres are the international financial centre, international innovation and technology centre, East-meets-West centre for international cultural exchange, international trade centre, international shipping centre, international aviation hub, centre for international legal and dispute resolution services in the Asia-Pacific region as well as regional intellectual property trading centre.