The second day of the Global Financial Leaders’ Investment Summit featured a notable speech by Paul Chan, Financial Secretary of Hong Kong, at the “Conversations with Global Investors” forum. During his address, Mr. Chan focused on how Hong Kong is adapting to emerging global trends and positioning itself as a key player in fostering growth and investment in a world marked by uncertainty.
With global economic shifts and the rise of emerging markets, Mr. Chan underscored the importance of staying agile and innovative in response to geopolitical changes. He also highlighted the changing role of China in the global market, noting its focus on high-quality growth driven by domestic consumption, technological innovation, and green investments.
Discussing Hong Kong’s strategy, Mr. Chan emphasized the city’s commitment to strengthening ties with both traditional markets like the US and Europe, as well as tapping into new opportunities, particularly in green transition and infrastructure. He reflected on his recent visits to the US and Europe, pointing out that despite challenges posed by geopolitics, opportunities for cooperation in areas such as urban planning, ESG (Environmental, Social, and Governance), and climate change remain abundant.
“Notwithstanding the long shadow cast by geopolitics, there is still potential and ample room for co-operation across many areas, from urban planning to infrastructure, to ESG standards and combating climate change,” Mr. Chan said.
Looking beyond traditional markets, Mr. Chan also identified the Global South as a rapidly growing area for investment. He noted that the region now contributes to 60% of global GDP in purchasing power parity and accounts for over 40% of global imports and exports. Countries in the Belt and Road initiative, particularly ASEAN, offer exciting growth potential, especially with their young population, expanding middle class, and aspirations for infrastructural and technological development.
One of the highlights of Mr. Chan’s speech was his recent visit to Saudi Arabia, where Hong Kong strengthened its ties through strategic investments, including the successful launch of ETFs investing in Hong Kong’s market. This visit underscored the shared vision between Saudi Arabia’s Vision 2030 and Hong Kong’s development objectives.
He elaborated, “The strategic investment made by our investment arm, the Hong Kong Investment Corporation, is clearly one example… It is our belief that the ‘Hong Kong brand’… can very much contribute to their growth and development.”
Mr. Chan’s insights also included an announcement of a joint investment fund between Hong Kong’s Monetary Authority and Saudi Arabia’s PIF. This initiative aims to promote investment in sectors such as manufacturing, fintech, healthcare, and renewables, reinforcing Hong Kong’s role as a global financial hub.
Despite global uncertainties, Mr. Chan expressed confidence in Hong Kong’s resilience, stating that the city’s international focus and innovation-driven approach would continue to make it an attractive partner for global investors.
