Financial Services and the Treasury Bureau (FSTB)

【Second Policy Statement on development of Digital Assets using the “LEAP” framework to scale Hong Kong to new heights of global digital asset leadership】   FSTB today issued the Policy Statement 2.0 on the Development of Digital Assets in response to the ever-evolving development of the digital asset sector. With the “LEAP” framework, the Policy Statement 2.0 sets out a vision for a trusted and innovative DA ecosystem that prioritises risk management and investor protection, while delivering concrete benefits to the real economy and financial markets.   Secretary Christopher Hui said, “Hong Kong is uniquely positioned to bridge traditional finance with the DA era.  The framework set out in the Policy Statement 2.0 helps us ‘LEAP’ towards a trusted, sustainable and deeply integrated DA ecosystem embedded within the real economy. It also keeps Hong Kong at the forefront of digital transformation, offering a clear roadmap for businesses and investors to thrive in a secure and vibrant DA market.”   “LEAP” refers to - - Legal and Regulatory Streamlining - Expanding the Suite of Tokenised Products - Advancing Use Cases and Cross-sectoral Collaboration - People and Partnership Development Read the full policy statement: https://lnkd.in/dgt4RJMc

【Promoting international co-operation and green finance development at AIIB Annual Meeting in Beijing】 During his visit to Beijing for the 10th Annual Meeting of the Board of Governors of the Asian Infrastructure Investment Bank (AIIB), Secretary Christopher Hui attended a side event themed “Implementing the International Financial Reporting Standards – Sustainability Disclosure Standards (ISSB Standards) from the Ground Up: The AIIB Journey”, where he shared Hong Kong’s efforts in advancing the adoption of the ISSB Standards. He noted that the AIIB is one of the first multilateral development banks to adopt the ISSB Standards. Hong Kong, as one of the first jurisdictions to set a target for full adoption of the standards, is committed to enhancing the transparency of sustainable finance disclosures and aligning with international practices. He said, “By aligning with international standards, we ensure the comparability of our disclosure data, strengthen investor confidence, and lay a solid foundation for capturing new opportunities.” He also spoke at the Governors’ Business Roundtable on the topic of “Fostering Development and Infrastructure Connectivity”, where he highlighted Hong Kong’s latest initiatives in sustainable finance and innovative financial products, such as infrastructure loan-backed securities. He announced that the Hong Kong Mortgage Corporation Limited will proceed with a third issuance of such securities later this year. He took the opportunity to meet with the President of the AIIB, Mr Jin Liqun, and the President-elect, Ms Zou Jiayi, and held bilateral meetings with delegations from Egypt, Germany and Poland to explore further collaboration opportunities. He also met with senior executives from major Chinese banks to discuss new directions for financial co-operation. Hong Kong will continue to leverage its role as a platform for green finance and sustainable infrastructure financing, participating actively in multilateral co-operation to contribute to global sustainable development.

【Attending the Lujiazui Forum to Promote Collaborative Development between Shanghai and Hong Kong】 Secretary Christopher Hui attended the 2025 Lujiazui Forum and related activities in Shanghai. At the seminar themed "Collaborative Development of Shanghai and Hong Kong International Financial Centres", he remarked that as the country's "dual engine" financial centres, Shanghai and Hong Kong are embracing new opportunities for synergistic development, contributing strong support to the nation’s “dual circulation” strategy. This year’s Lujiazui Forum is themed “Financial Opening-up and Cooperation for High-Quality Development in a Changing Global Economy”. Secretary Hui attended the opening ceremony and plenary session yesterday, and today delivered remarks at the seminar jointly hosted by the Hong Kong Financial Services Development Council and the Shanghai Research Center for Financial Stability and Development, during which a report titled “Synergistic Development of Shanghai and Hong Kong as International Financial Centres in the New Era” was released. Speaking at the plenary session yesterday, Secretary Hui noted that, building on the solid foundation of Stock Connect, mutual market access between the Mainland and Hong Kong has continued to expand in both scope and capacity. Initiatives such as Bond Connect, the inclusion of Exchange Traded Funds (ETFs) under Stock Connect, and Swap Connect have been successively implemented. These programmes not only broaden the range of financial products available to both domestic and international investors, but also help attract more capital inflows into the capital markets of both places, fostering their long-term development. He also noted that Hong Kong must further enhance the offshore Renminbi (RMB) market, to better facilitate the use of RMB by international market participants. The Government will step up efforts in four key areas: enhancing offshore RMB liquidity, increasing product offerings, improving market infrastructure, and exploring new markets. On the topic of stablecoins and central bank digital currencies (CBDCs), Secretary Hui said that stablecoins harness the innovative strengths of private institutions to integrate the financial system with the real economy, thereby creating new use cases for the digital economy. Hong Kong’s regulatory framework for stablecoins balances innovation with systemic risk management, including provisions for transparent reserve asset requirements, regular audits by independent third parties, and the establishment of risk assessment mechanisms. Separately, the Hong Kong Monetary Authority is conducting preliminary research on wholesale CBDCs in collaboration with the industry. He expressed the expectation that Shanghai and Hong Kong will deepen cooperation in areas such as financial innovation and green finance, thereby generating greater synergy.  

【Exploring Financial Cooperation Opportunities with Visiting Officials from Multiple Countries】   As the international financial centre of our country, Hong Kong plays the role of a “super connector”, serving as a critical hub for capital flows between China and the rest of the world. Proactively expanding its global network of partners helps Hong Kong further tap into international markets and leverage its unique strength in bridging the Mainland and the world.   This morning, Secretary Christopher Hui met with a delegation of visiting officials from ten countries, including Tunisia, Cambodia, Indonesia, Laos, Mauritania, Nepal, Pakistan, Qatar, Morocco, and Sri Lanka. During the meeting, Secretary Hui, together with representatives from the Hong Kong Monetary Authority and Hong Kong Exchanges and Clearing Limited, briefed the delegation on the latest developments in Hong Kong’s financial markets. Key topics included the capital market, green and sustainable finance, the internationalisation of the Renminbi, and connectivity between the capital markets of Hong Kong and the Mainland.   As of April this year, Hong Kong ranked as the third-largest stock market in Asia. Delegates expressed interest in the vitality and institutional advantages of Hong Kong’s IPO market. Additionally, Hong Kong, as a regional leader in green and sustainable finance, accounted for around 45% of the green and sustainable bonds arranged in Asia in 2024, maintaining the top position in the region for seven consecutive years. Both sides engaged in in-depth discussions to explore potential cooperation in these areas.   Secretary Hui welcomed the visiting officials to gain first-hand insights into Hong Kong’s diverse development landscape and to visit various locations in both Hong Kong and Shenzhen to better understand the latest developments in the city and the Guangdong-Hong Kong-Macao Greater Bay Area. He encouraged the delegates to make full use of Hong Kong’s efficient markets and robust regulatory framework, and to consider Hong Kong as a key platform for fundraising and capturing regional opportunities, with a view to fostering collaboration and achieving mutually beneficial outcomes.  

【Visit to Norway – Advancing Hong Kong-Norway Tax and Financial Collaboration】 During his visit to Oslo, Norway, Secretary Christopher Hui actively promoted multifaceted collaboration between Hong Kong and Norway in the areas of taxation and finance. These included expediting the signing of a Comprehensive Avoidance of Double Taxation Agreement (CDTA), as well as fostering cooperation in green finance, fintech, digital assets, wealth management, and maritime finance. During a meeting with Norwegian State Secretary of the Ministry of Finance, Torgeir Micaelsen, and Director General of the Tax Law Department, Omar G Dajani, Secretary Hui urged for the early conclusion and signing of a CDTA between the two jurisdictions. Mr Micaelsen responded positively and indicated that steps would be taken to expedite the relevant procedures. Secretary Hui welcomed the positive progress made during the meeting towards the signing of the agreement. At a dinner reception co-organised by the Hong Kong Economic and Trade Office in London and the Norway-Hong Kong Chamber of Commerce, Secretary Hui highlighted the strong complementarity between Hong Kong and Norway in areas such as sustainable finance, wealth management, and fintech. He noted that Norway, as home to the world’s largest sovereign wealth fund, possesses extensive experience in long-term asset management, which aligns well with Hong Kong’s role as Asia’s wealth management hub. He suggested that both sides could leverage Hong Kong’s platform to tap into Asian markets, particularly investment opportunities in innovation and technology in the GBA. He also shared the latest developments in digital finance in Hong Kong, including the upcoming licensing regime for stablecoin issuers to be implemented in August, and the forthcoming second policy statement on digital assets. These measures are part of the Government’s commitment to empower the real economy and promote financial innovation. In the area of maritime finance, Secretary Hui held meetings with senior executives from Gard, a leading Norwegian marine and energy insurance provider, and DNV, a global assurance and risk management company. Discussions focused on how to combine Norway’s expertise in maritime risk management with Hong Kong’s strengths in ship finance, leasing, maritime insurance, and ecosystem development, with a view to expanding market scale and creating synergies. He emphasised that, as a global maritime services centre, Hong Kong is well-positioned to foster collaboration between its insurance and professional services sectors and Norway’s expertise in maritime risk management, offering comprehensive solutions to the global shipping industry. With its tax incentives, international connectivity, and strategic location, Hong Kong serves as an ideal platform linking Norway and the Nordic region with Asian markets.  

【Hong Kong confirmed as a first mover in setting a target for full adoption of ISSB Standards】   The publication of jurisdictional profiles by the International Financial Reporting Standards Foundation (IFRS Foundation) confirms Hong Kong as one of the initial jurisdictions to set a target for full adoption of the International Financial Reporting Standards – Sustainability Disclosure Standards (ISSB Standards).   We welcome and are encouraged by this publication, as it demonstrates Hong Kong’s commitment to enhancing transparency around sustainable development in capital markets, facilitating informed investment decisions, and promoting global capital flows.   Secretary Christopher Hui said: “This affirms our efforts and determination in supporting and promoting a common international language for sustainability disclosures. It also highlights Hong Kong’s strengths in sustainable finance and reinforces our position as an international sustainable finance hub.”

[Visit to London] Two Leading International Financial Centres Unlock New Opportunities for Mutual Benefit   During his visit to London, the United Kingdom, Secretary Christopher Hui presented to local financial, political, and business communities Hong Kong’s latest progress and firm commitment in driving financial innovation and fostering international collaboration.   Speaking at a luncheon hosted by the Hong Kong Association, Secretary Hui underlined Hong Kong’s financial development strategy, which focuses on three key directions:   Extending the financial value chain to cover equities, fixed income, currencies, and commodities; Embracing financial technology and green finance; and Creating growth opportunities for both Mainland Chinese and international businesses.   In the face of evolving global geopolitical and economic dynamics, Hong Kong continues to attract international capital and partners with its diversified, resilient, and innovative financial ecosystem.   A key highlight of the visit was the signing of a Memorandum of Understanding (MoU) between the Financial Services Development Council (FSDC) and TheCityUK, marking a new chapter in closer partnership between the two international financial centres. Under the MoU, the two parties will work together to promote transition and digital finance, foster talent development, share best practices, and establish an annual review mechanism to deepen cooperation outcomes.   Secretary Hui remarked that international investors increasingly seek markets characterised by regulatory clarity, consistency, and credibility, which are qualities that Hong Kong has long upheld. He added that Hong Kong is actively advancing the integration of traditional finance with digital assets to empower the real economy, while remaining committed to striking a balance between financial innovation and investor protection. These efforts present new opportunities for collaboration with the UK financial sector.   During the visit, he also met with Emma Reynolds, Economic Secretary to the Treasury, and Alderman Alastair King, the Lord Mayor of the City of London. He also participated in a thought leadership session hosted by the independent UK think tank Asia House, where he had in-depth exchanges with participants on Hong Kong’s potential in fintech, green finance, and commodities trading. He noted that Hong Kong’s securities market recorded an average daily turnover of US$31 billion in the first five months of 2025, representing a 120% year-on-year increase, a testament to the market’s vitality and investor confidence.   Through enhanced collaboration and exchange, Hong Kong and London, two leading international financial centres, can complement each other’s strengths to drive the development of the financial industry in both cities, particularly in areas such as wealth management and digital assets, and unlock new opportunities for mutual benefit and shared success.    

【Opening a New Pathway for Company Re-domiciliation】   The company re-domiciliation regime has been open for applications since the end of May. Following its launch, some companies are actively preparing to apply for re-domiciliation to Hong Kong.   According to Secretary Christopher Hui, the current target of the Companies Registry is to complete the approval process within two weeks after an applicant has submitted all required documents and information, thus enabling eligible companies to implement their re-domiciliation plans as early as possible. “We are now liaising with traditional offshore jurisdictions to facilitate the companies’ deregistration in their place of incorporation for re-domiciliation to Hong Kong,” he said.   Read the full blog article: https://lnkd.in/gNfUDQ8C

【Family Office Association Hong Kong: Asia’s Premier Wealth Management Hub】 As Asia’s leading centre for asset and wealth management, Hong Kong holds a dominant position in both hedge funds and cross-border wealth management in the region. It also ranks second in the region for private equity capital under management—just after Mainland China. The Hong Kong Government is actively fostering a forward-looking ecosystem to drive the growth of the wealth management sector. Through a competitive tax regime, tailored facilitation measures for family offices, and deeper integration with the Mainland, Hong Kong continues to thrive as a global hub for wealth. Kwan Chi Man, Chair of the Family Office Association Hong Kong, remarked: “We are working hand in hand with the Government to solidify Hong Kong’s leadership as the family office hub of Asia-Pacific, and to elevate our city’s role in shaping the future of global wealth management.”

【Promoting Hong Kong’s New Fintech Opportunities in the Web Summit Vancouver】 Secretary Christopher Hui attended the Web Summit Vancouver, where he promoted Hong Kong’s efforts to integrate traditional finance with digital finance to a global audience of tech investors and industry leaders. He highlighted Hong Kong’s strengths and determination in establishing itself as Asia’s gateway for financial innovation. At the event, he pointed out that Hong Kong’s fintech ecosystem is thriving, with over 1,100 fintech companies, including licensed virtual asset trading platforms, digital banks, and virtual insurers. The Hong Kong Government is actively driving the development of green finance and the virtual asset market, having already laid out a clear policy blueprint and regulatory framework. These include establishing  a licensing regime for fiat-referenced stablecoin issuers, active alignment with the International Sustainability Standards Board (ISSB), and support for the responsible adoption of AI in financial markets. Secretary Hui noted that Hong Kong is committed to building a financial ecosystem that blends innovation with regulation and technology, in order to attract global capital and talent. He further emphasised that, amid growing geopolitical uncertainties, Hong Kong’s connectivity with both Mainland China and the international community, along with its rule of law and market transparency, reinforces its standing as a trusted destination for international investors and a safe haven for capital. Before concluding his visit to Canada, Secretary Hui also met with the Bank of Montreal, where he held discussions with Andrew Hung, Senior Vice President & Head of Mid-Market, Commercial Banking, and Greg Vriend, Senior Vice President & Head of BC & Yukon. They discussed Hong Kong’s competitive strengths in the wealth management sector. Secretary Hui also paid a courtesy call to Yang Shu, Consul General of the People’s Republic of China in Vancouver.