ENG-2013 — Page 132

5

Commerce and Industry

for one year until 28 February 2014 to continue to assist enterprises in obtaining loans in the commercial lending market.

Promotion of Innovation and Technology

Innovation and technology development is a key driver of economic growth. To facilitate the growth of this industry in which Hong Kong enjoys clear advantages and to help develop Hong Kong into a regional innovation hub, the government provides infrastructural and financial support, develops human resources, collaborates with economies outside Hong Kong, and fosters an innovation culture in the community.

Innovation and Technology Commission

The Commerce and Economic Development Bureau's Innovation and Technology Commission spearheads Hong Kong's drive to become a world-class, knowledge-based economy. It formulates and implements policies and measures to promote innovation and technology; supports applied research and development (R&D); supports technology transfer and applications; promotes technological entrepreneurship; 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.

Innovation and Technology Fund

The Innovation and Technology Fund (ITF) supports applied R&D projects that help upgrade technology and promote innovation in the manufacturing and service industries. By the end of 2013, the fund had committed some $8 billion to support about 3,700 projects undertaken by research institutions and the industry.

The ITF's Small Entrepreneur Research Assistance Programme provides matching grants for R&D by small start-up companies to turn innovative technological ideas into commercially viable products or services. By the end of 2013, $448 million had been provided to assist 382 projects.

Research and Development Cash Rebate Scheme

The R&D Cash Rebate Scheme reinforces the research culture among enterprises and encourages them to establish stronger partnerships with local research institutions. The $200 million scheme provides 30 per cent cash rebates to companies conducting applied R&D projects under the ITF, or in collaboration with designated research institutions. By the end of 2013, the scheme had approved over 750 applications for rebates amounting to about $65 million.

The Hong Kong Science and Technology Parks Corporation

The Hong Kong Science and Technology Parks Corporation provides one-stop infrastructural support to technology-based companies. The 22-hectare Science Park in Sha Tin is the government's flagship infrastructure to turn Hong Kong into a regional innovation hub. Phases 1 and 2 have been completed and 96 per cent occupied. Phase 3 will be available for use between 2014 and 2016. In total, they will provide 330,000 square metres of gross floor area for applied R&D to local and overseas companies in electronics, information technology and

96