Chan Mo-po, Financial Secretary of Hong Kong Special Administrative Region
Although Hong Kong has had ups and downs, on the whole, it is much better than it was 20 years ago.
Its regional GDP has grown by 80 percent since 1997. Even though Hong Kong’s economy as a share of the nation’s total has shrunk, it is very normal as our country has developed at a surprising speed.
In the past 20 years, Hong Kong’s role in the development of the country has undergone subtle changes. When the mainland adopted the reform and opening-up policy in the late 1970s, Hong Kong was its main source of investment. Foreign enterprises that intended to invest in the mainland also needed to route through Hong Kong. Currently, foreign companies can directly invest in the mainland.
Hong Kong is more experienced in risk management and its legal system is more in line with that of foreign countries. These are the advantages of Hong Kong, with which we are planning to develop the city into a prime venue for commercial arbitration.
Hong Kong can play an important role in aligning Chinese and international standards in building the China-proposed Silk Road Economic Belt and the 21st-Century Maritime Silk Road, collectively known as the Belt and Road Initiative, though the main goal is to introduce Chinese standards in overseas markets.
In addition, Hong Kong can serve as a funding hub for the Belt and Road Initiative. The Hong Kong Monetary Authority has set up an infrastructure investment office.
Under the premise of controllable risks, Hong Kong can also function as a testing ground for the internationalization of the renminbi. We can help investors from the mainland to invest in overseas markets and in the meantime attract foreign capital to the financial market of the mainland.
Although the four pillar industries—trade and logistics, tourism, finance, and professional and other productive services—have made great contributions to Hong Kong’s economy, future development will definitely be more diversified. We should provide more development opportunities for the innovation and technology sector.