Third, in recent years Hong Kong has promoted fintech innovation and development. For instance, in June 2021, the Hong Kong Monetary Authority announced the “FinTech 2025” strategy to encourage the financial sector to adopt technology by 2025. As of January, Hong Kong is home to approximately 1,000 fintech companies, and it recently welcomed China-based digital bank WeBank to establish its technology headquarters in the city.
This has allowed the city to strengthen its position not only in traditional finance but also in the rapidly evolving fintech sector. The government’s efforts to simplify regulatory procedures have further strengthened the city’s competitiveness in this area.
Fourth, Hong Kong’s real estate market plays a factor in Hong Kong’s recovery. In September, the US Federal Reserve announced a 0.5 per cent interest rate cut, with more cuts expected to occur in the coming months. This could help stabilise Hong Kong’s property market and improve housing affordability.
With the health of the property market being one of the key economic barometers in Hong Kong, the positive sentiment adds to people’s confidence in the city’s economic future.
SINGAPORE REQUIRES CONTINUOUS INNOVATION
While Hong Kong is known as the gateway to China, Singapore plays the role of enabling Chinese firms’ outbound business. With its strong trade and financial ties with China, many Chinese firms use Singapore as their base for Southeast Asia and global expansion.
Additionally, Singapore has worked to enhance its own links to China, such as through the Chongqing Connectivity Initiative which promotes collaboration in financial services, aviation, logistics, and information and communications technology.
Source: CNA
