ENG-2020 — Page 90

Chapter 4

Financial and Monetary Affairs

As one of the world's leading international financial centres, Hong Kong is the ideal gateway between the Mainland market and the rest of the world for capital and business.

The city's vibrant financial sector has a workforce of over 270,000, contributing to 21.2 per cent of the local economy.

Hong Kong as an International Financial Centre

Situated at the heart of Asia, Hong Kong is within a five-hour flight to key markets in the region. and half the world's population. The city's trading system plugs fully into the round-the-clock global financial trading cycle and provides stable and seamless connectivity with other major financial hubs. Moreover, as part of China, Hong Kong has close geographical, cultural and linguistic links with the Mainland, while retaining its distinctive international elements.

Hong Kong's unique advantages under 'one country, two systems' include the rule of law, an independent judiciary, open market, free flow of capital and a low and simple tax regime. Hong Kong's financial market is also characterised by deep liquidity, strong emphasis on investor protection, a well-educated and highly efficient workforce and ease of entry for non-local professionals. Financial regulations are effective, transparent and aligned with international standards. All these contribute to Hong Kong's unique position as the bridge between the Mainland of China and the rest of the world for financing and business. As Mainland China has put forward a new economic development pattern of domestic and international dual circulation, Hong Kong will contribute to and grasp new opportunities from this new development blueprint.

To strengthen its competitiveness in financial services, Hong Kong improves the regulatory framework, promotes market development and the application of financial technology to increase productivity, enhances financial inclusion and drives green and sustainable development. The city will continue to make good use of its connectivity with the Mainland and international markets and capitalise on the opportunities presented by the Guangdong- Hong Kong-Macao Greater Bay Area development and the Belt and Road Initiative.

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