Press Releases in Hong Kong

FSDC: Confidence strong in HK despite US ‘advisory’

People gather to watch the sunset as they stand on a viewing platform in Tamar Park overlooking Victoria Harbour and the Kowloon skyline in Hong Kong on May 5, 2020. (ANTHONY WALLACE / AFP)

Hong Kong’s business environment and its status as an international financial center will not be affected by the United States’ “business advisory”, with business associations taking a positive outlook over the city’s future development, the Financial Services Development Council said on Monday.

FSDC Chairman Laurence Li Lu-jen said the Hong Kong Special Administrative Region had the talent, regulations and international connectivity to ensure long-term success.

“I cannot see a second place other than Hong Kong that has all these factors,” Li said.

He said the HKSAR’s business environment and its status as an international financial center have not been affected the US advisory issued on Friday that warned its firms of the “risks” of doing business in the city after the implementation of the National Security Law.

Andrew Weir, an FSDC board member, said the wave of US-listed firms coming to Hong Kong for a secondary listing underscores the special administrative region’s role as a major financial hub

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Some overseas business associations have clearly expressed their optimism over the HKSAR’s business environment and opportunities and shown their long-term commitment to the city, Li said.

“Hong Kong is special because we are always experiencing the changing environment,” he said, adding that it is this agility which has enabled the city to reach its status as a global financial center.

Andrew Weir, an FSDC board member, said the wave of US-listed firms coming to Hong Kong for a secondary listing underscores the special administrative region’s role as a major financial hub.

The HKSAR will become even stronger through engagement with the mainland, especially as the mainland further opens up its market to foreign companies, Weir said.

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Ding Chen, another FSDC board member, said the soon-to-be-launched Wealth Management Connect program will initially cover low-risk financial products. As the HKSAR has developed multiple types of these products, she believes the launch of the cross-border program will provide ample options for mainland investors.

“Restrictions on account opening could be loosened, which would help further promote integration between Hong Kong and mainland financial markets,” Ding said.