HK must safeguard financial security against potential market fluctuations and impacts, Paul Chan says

Financial Secretary Paul Chan emphasized the importance of safeguarding financial security in Hong Kong to prevent potential market fluctuations and impacts at a forum today (Dec. 6).

He highlighted that security is the prerequisite for development, stating that without security, growth and development would be mere talk, and Hong Kong must leverage the unique advantages of "one country, two systems" to enhance connectivity internally and externally and accelerate development.

Quoting the Director of the Hong Kong and Macao Affairs Office, Xia Baolong, Chan mentioned that Hong Kong cannot rely solely on traditional advantages but must be determined to reform. He clarified that this does not imply abandoning everything but rather advancing both traditional advantage industries and emerging industries simultaneously to enhance competitiveness and achieve diversified economic development.

Chan pointed out that geopolitical factors remain significant risks, potentially leading to trade frictions or further disruptions in the stability of global supply chains and industrial layouts, affecting global economic growth. He noted that many mainland Chinese enterprises are restructuring their supply chains and industrial layouts to encompass countries in the southern hemisphere and along the Belt and Road Initiative (BRI).

"During this process, they require professional consultancy services, and Hong Kong can encourage mainland enterprises to establish high-value-added supply chain management centers, international or regional headquarters, financial centers, etc., when expanding overseas."

Furthermore, Chan mentioned that Hong Kong's development requires geographical space, with the Northern Metropolis being the city's new growth space.

"This area supports the development of innovation and technology, logistics, and high-value-added supporting industries... it will adopt a diverse land development model, including district-based development where developers coordinate the development of large land areas," he said.

The public-private collaboration model, according to Chan, will enable businesses to participate more comprehensively, deeply, and flexibly in the construction of the Northern Metropolis, facilitating coordination between infrastructure, transportation, community development, and industrial growth to accelerate economic development momentum.

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