Financial Secretary Paul Chan Mo-po speaks during an interview with China Daily at Central Government Offices in Hong Kong, on June 27, 2023. (ANDY CHONG / CHINA DAILY)

The first batch of 20 strategic enterprises setting up or expanding their businesses in Hong Kong will not only bring more high-potential firms involved in the industrial chain to the special administrative region, but also jointly promote the development of the city’s innovation and technology ecosystem, says Financial Secretary Paul Chan Mo-po.

The Office for Attracting Strategic Enterprises (OASES) last week signed agreements with 20 strategic enterprises, including COVID-19 vaccine maker AstraZeneca, Chinese mainland telecommunications giant Huawei and e-commerce titian JD.com.

Apart from wooing strategic enterprises, the SAR government has been working hard to attract investment. In the first nine months of this year, InvestHK has helped 300 enterprises to set up operations in the city, more than 76 of which are from Europe -- an increase of 7 percent over the same period last year

Some of these enterprises will settle in the SAR, while some already have a presence in the city and are ready to expand their businesses. Most of them will set up research and development centers or regional business headquarters in Hong Kong, Chan said in his Sunday blog.

In the coming few years, the strategic enterprises will invest a total of more than HK$30 billion ($12.8 billion) in Hong Kong and create about 10,000 jobs, most of which will involve scientific research and management.

“Some of the strategic enterprises in the biomedical and healthcare technology sectors have, coincidentally, pointed out that the advantages of ‘one country, two systems’ and the ‘Made in Hong Kong’ label have contributed to their decision to locate their international or regional headquarters and production centers in Hong Kong, so as to further tap into the Chinese mainland, Asian and even international markets,” Chan said.

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Chief Executive John Lee Ka-chiu announced in his maiden Policy Address in October last year the establishment of OASES, led by the financial secretary and tasked with attracting strategic enterprises from across the globe.

Since its creation late last year, OASES has met representatives from over 200 enterprises. Many are in the stage of active negotiations, with some having proceeded to a later stage. More enterprises are expected to implement their plans to settle down or expand their operations in Hong Kong soon, Chan said.

The setting up of leading companies is expected to help attract their upstream and downstream companies to Hong Kong, Chan said, adding that smaller, but cutting-edge start-ups’ establishment will add impetus to the city’s scientific research and innovation, and help attract more funds and investors in search of quality projects.

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“A well-developed industrial chain and a thriving ecosystem will help raise investors’ and the market’s awareness and understanding of, and familiarity with technological developments in relevant fields, which will be conducive to the creation of more innovative applications of the relevant technologies, higher acceptance of new technologies or products by end-users, and even the valuation of enterprises for listing in the future,” he added.

Apart from wooing strategic enterprises, the SAR government has been working hard to attract investment. In the first nine months of this year, InvestHK has helped 300 enterprises to set up operations in the city, more than 76 of which are from Europe -- an increase of 7 percent over the same period last year.

“InvestHK will continue to step up publicity and promotion in various overseas markets, including Europe, the Middle East and the Association of Southeast Asian Nations, to encourage them to develop businesses in Hong Kong,” Chan said.