Policies introduced under the new administration

In the 2018/19 Budget, the Government of the Hong Kong Special Administrative Region has set aside HK$50 billion ($637 million) for innovation and technology development. The focus is on biotechnology, artificial intelligence, smart cities and financial technology.

Already in operation:

•An interdepartmental Steering Committee on Innovation and Technology established and led by the chief executive

•A HK$2 billion Innovation and Technology Venture Fund Scheme to co-invest with venture capital funds in local technology startups

•The Space Sharing Scheme for Youth, providing more than 8,000 square meters of co-working space for startups at no more than half the official market rent

•The three-year pilot Technology Talent Admission Scheme that processes work visas for nonlocal innovation and technology talent in just two weeks. The total quota for the first year will be 1,000.

To be introduced in the second half:

•Additional tax breaks for research and development expenditure: large tax deductions for the first HK$2 million, with the remainder subject to further substantial deductions.

•The HK$500 million Technology Talent Scheme, including funding to enable businesses in the innovation and technology sector to recruit talented individuals with relevant doctorates.