Chief Executive John Lee Ka-chiu’s latest Policy Address marked a milestone in Hong Kong’s development trajectory, demonstrating a proactive, reform-oriented approach aimed at addressing residents’ pressing concerns while bolstering Hong Kong’s competitive advantages.
Over the past two years, under Lee’s leadership, the Hong Kong Special Administrative Region government has demonstrated remarkable progress in governance, with a new era of responsibility, pragmatic policies, and a forward-thinking mindset. The new Policy Address, centered on economic growth, international integration and people’s well-being, reflects a government that is committed to achieving tangible results.
A key theme of the 2024 Policy Address is “promoting economic development”, which underscores the government’s resolve to leverage Hong Kong’s unique position under the “one country, two systems” framework. Lee’s administration has focused on transforming Hong Kong into a more robust international financial, trade, and maritime center, which is critical for its future growth.
The Policy Address details several strategic initiatives aimed at enhancing Hong Kong’s role as an international financial hub. One of the highlights is the plan to deepen “interconnectivity” between Hong Kong and the Chinese mainland, especially in the financial sector. This includes optimizing the Cross-boundary Wealth Management Connect Scheme and developing more offshore renminbi-denominated products, both of which are expected to attract international investors and bolster the city’s role in promoting RMB internationalization. These efforts aim to cement Hong Kong’s position as the largest offshore RMB business hub, a critical step in boosting the city’s long-term financial stability and integration with national economic strategies.
Further reinforcing its global financial center standing, Hong Kong is also set to introduce new investment products such as exchange-traded funds tracking Hong Kong’s stock indexes in the Middle East. Additionally, the government’s measures to expand tax reductions for family offices and private funds are designed to attract more global capital and wealth-management businesses to the city. These forward-thinking financial reforms are expected to support Hong Kong’s ambitions of becoming a global asset management and wealth management hub by 2028, as forecast by industry experts.
In tandem with financial-sector reforms, the Policy Address outlined steps to enhance Hong Kong’s logistics and maritime industries, positioning it as a critical link in global trade routes. The introduction of green shipping and new logistics zones further aligns Hong Kong’s industrial strategies with global trends, driving innovation in sustainable transport while contributing to economic diversification.
One of the most noteworthy aspects of the Policy Address is the clear emphasis on aligning Hong Kong’s development with national strategy. Lee has explicitly tied Hong Kong’s future to the broader goals of the 14th Five-Year Plan (2021-25) and the Guangdong-Hong Kong-Macao Greater Bay Area initiative. This demonstrates the SAR government’s understanding that the city’s future lies in effectively leveraging its position as an international gateway to the mainland.
The Policy Address outlines actionable and measurable solutions, accompanied by clear key performance indicators, to ensure transparency and accountability. By prioritizing public health, housing and job creation, the administration demonstrates its understanding that economic success must be accompanied by social stability and individual well-being.
The Northern Metropolis development, for instance, aims to turn part of the New Territories into an economic engine that synergizes with nearby cities in the GBA. This initiative not only aims to accelerate housing and infrastructure development but also to build a vibrant innovation and technology hub that will foster the growth of new industries, including fintech and biotech. By enhancing cross-boundary collaboration, Hong Kong is expected to become a more critical player in the nation’s global economic ambitions, while securing a more sustainable growth trajectory for the city itself.
Beyond the focus on economic advancement, the Policy Address also prioritized improving the lives of residents. Lee’s administration has placed significant emphasis on people-oriented governance, reflected in its well-structured and pragmatic solutions to pressing social issues such as housing, healthcare and employment.
One of the most notable measures is the plan to expedite public housing projects through the Basic Housing Units program, an initiative designed to alleviate the ongoing housing problems by significantly reducing waiting time for public housing and improving living conditions for lower-income families. The government’s commitment to solving the subdivided-flats issue further demonstrates its determination to address longstanding social problems, ensuring that the housing market becomes more accessible to the average resident.
In healthcare, the Policy Address introduced key reforms to address the shortages in medical employees and enhance the overall healthcare infrastructure. The decision to establish a system for importing medical professionals and streamlining approval processes for medical equipment will ensure that the healthcare system is better equipped to handle future demands. These initiatives align with the broader goal of transforming Hong Kong into a global hub for healthcare innovation, with a focus on biotechnology and advanced medical technologies.
Moreover, the Policy Address reflects a commitment to empowering youth, offering new avenues for education, employment and entrepreneurship. The government’s increased support for vocational training and science, technology, engineering, arts and mathematics education is designed to equip the younger generation with the skills needed to thrive in the rapidly evolving global economy. By providing more career pathways, the administration aims to address both the immediate needs of the labor market and the longer-term goal of fostering a highly skilled workforce.
A defining feature of Lee’s administration is its commitment to inclusive governance. The Policy Address was shaped by extensive public consultation, with over 40 town hall meetings held across the city. This direct engagement with the community has allowed the government to better understand and respond to the immediate concerns of residents. In addressing these concerns, the Policy Address outlines actionable and measurable solutions, accompanied by clear key performance indicators, to ensure transparency and accountability. By prioritizing public health, housing and job creation, the administration demonstrates its understanding that economic success must be accompanied by social stability and individual well-being.
The author is a member of the Chinese Association of Hong Kong and Macao Studies.
The views do not necessarily reflect those of China Daily.
