ENG-2007 — Page 158

114 Commerce and Industry

technological entrepreneurship; promotes the wider use of design; facilitates the provision of innovation and technology infrastructure and development of human resources; and promotes internationally accepted standards and conformity assessment services to underpin technological development and international trade. The commission works closely with its partners in the Government, industry, business, tertiary education institutions and industrial support organisations.

To make Hong Kong a regional centre for innovation and technology, the Government has been implementing various initiatives to drive forward innovation and technology. It offers a range of infrastructure and funding support for applied R&D activities and design-related projects.

Innovation and Technology Fund

A $5 billion Innovation and Technology Fund was established in 1999. It supports projects that will help upgrade the level of technology and promote innovation in the manufacturing and service industries. By year-end, the fund had provided $3.19 billion to support 1 076 projects undertaken by research institutes and the industry.

Promoting Technological Entrepreneurship

Major efforts have been made to promote technological entrepreneurship. Under the Innovation and Technology Fund, a scheme, called the 'Small Entrepreneur Research Assistance Programme', provides dollar-for-dollar matching grants of up to $2 million per project to help small start-up companies to carry out R&D to turn innovative technological ideas into commercially viable products, processes or services. By year-end, $268 million in financial support had been provided to 264 projects.

A $750 million Applied Research Fund was established in 1993. By year-end, $410 million in financial support had been provided to 25 companies through private venture capital firms. After March 2005, the fund had ceased making new investments, but it will have a role in overseeing existing investments and their exits.

DesignSmart Initiative

A $250 million DesignSmart Initiative was launched in June 2004 to strengthen support for design and innovation, and to promote the wider use of design and innovation in industries to help them move up the value chain.

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Under it, a 'Design Support Programme' has been set up to support projects in four categories design research, design/business collaboration, professional continuing education in design and promoting a design culture. By year-end, 121 projects had received financial support worth some $78 million. Another measure under the initiative is the InnoCentre, which was set up jointly by the Hong Kong Science and Technology Parks Corporation and the Hong Kong Design Centre. Officially opened in November 2006, this one-stop shop aims to create and sustain a cluster of high value-added design activities, including the provision of an incubation programme for design start-ups.