Hong Kong’s 11-point score increase in the latest Global Financial Centres Index reflects renewed confidence among international finance professionals in the city’s status as a leading global financial hub, analysts said.
The special administrative region, rated 760 points, maintained third place globally in the 37th edition of the Global Financial Centres Index, published biannually by UK-based Z/Yen and the China Development Institute in Shenzhen.
The overall rating rose 11 points compared to the previous edition, narrowing the gap with top-rated New York, which scored 769, and London, in second place at 762.
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Yu Peng, registered consulting engineer in the Department of Financial Development, State-owned Assets and SOE at China Development Institute (Shenzhen), attributed the rise to the improved reputation of the city thanks to the Hong Kong government’s efforts in talent attraction and in establishing a Web3 ecosystem.
In the sub-ranking of industry sectors, the city also made strides in fintech, climbing five places to the fourth position worldwide.
Yu explained that the index "essentially gauges the sentiment of global financial professionals regarding a city’s financial center development prospects.”
The GFCI, which assesses 119 financial centers worldwide, combines survey responses from about 5,000 financial industry professionals with objective data across five key areas: business environment, human capital, infrastructure, financial sector development, and reputation.
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Yu highlighted that the GFCI serves as an evaluation tool for financial institutions and government bodies to track short-term trends and identify areas needing attention.
“When international financial institutions see Hong Kong's rising evaluation and the positive assessment of its business environment, they become more willing to establish operations there,” he added.
Financial sector lawmaker Robert Lee Wai-wang said, “This global ranking affirms Hong Kong’s status as an international financial center, especially through recent efforts by the government, regulatory bodies, and the Legislative Council.”
He noted a slew of government efforts, including the introduction of the new Capital Investment Entrant Scheme, tax incentives for family offices, stamp duty reductions, and the implementation of a regulatory framework for virtual asset trading platforms, to boost and consolidate Hong Kong’s advantages as an international financial center.
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The SAR government has also actively organized a series of financial events, including the Asian Financial Forum, attracting global financial leaders and investors to Hong Kong to “showcase our financial success story”, Lee said.
Currently, Hong Kong stock trading is robust, with average daily turnover approaching HK$290 billion ($37.3 billion) in March, and over 130 companies queuing to apply for listing on the Hong Kong Stock Exchange. Combined with Hong Kong’s asset and wealth management business valued at nearly HK$31.2 trillion, this reflects the continued positive momentum of Hong Kong’s international financial market, Lee noted.
According to the Market Study on the Family Office Landscape in Hong Kong conducted by Deloitte, there are over 2,700 single-family offices in the city.
Hong Kong had HK$30.5 trillion in assets under management as of end-2022. With over 12,500 ultra-high-net-worth individuals in 2022, Hong Kong topped the list of global cities hosting such individuals and has become an attractive destination for them to establish their family offices, the study revealed.
