ENG-2009 — Page 114

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Chapter 4

Financial and Monetary Affairs

Hong Kong ranks among the world's top financial centres, thanks to its well established and regulated banking, securities and insurance industries.

Its stock exchange ranked seventh globally and third in Asia in terms of market capitalisation. Hong Kong also led the world in raising funds through initial public offerings (IPOs) in 2009. The financial sector has a 213 400-strong workforce, or 5.8 per cent of the city's total workforce, and contributes 16.1 per cent of the city's GDP.

Hong Kong is a vibrant international financial centre invigorated by a sophisticated financial infrastructure, world-class financial professionals, a regulatory regime as good as any in the world, high liquidity and efficiency. The Government's aim is to reinforce further Hong Kong's position as an international financial centre in general and as a capital formation centre, an offshore Renminbi (RMB) centre and an asset management centre particularly by making continuous improvements to the regulatory system, promoting corporate governance, strengthening investor protection, fostering market development and enhancing links and co-operation with the Mainland.

Hong Kong made a number of major achievements in 2009. These included:

Chart 1 External Positions of Authorised Institutions (Als)

HK$ Billion

10,200

10,000

10,021

9,800

9,947

9,661

9,600

9,400

9,200

2007

2008

2009

Year

Being the world's 15th and Asia's 3rd largest banking centre in terms of external positions1. and the world's 6th largest centre for foreign exchange trading.

1

Sum of liabilities to banks and non-bank customers outside Hong Kong and claims on banks and non-bank customers outside Hong Kong (such as equities, securities and capital instruments).