In what analysts has described as “bold” and “targeted” approaches, Hong Kong unveiled an expansionary Budget to bolster innovation through spending more than HK$50 billion (S$8.5 billion), and to provide relief to citizens in areas such as salaries tax, healthcare and housing.. Read more at straitstimes.com.
In what analysts has described as “bold” and “targeted” approaches, Hong Kong unveiled an expansionary Budget to bolster innovation through spending more than HK$50 billion (S$8.5 billion), and to provide relief to citizens in areas such as salaries tax, healthcare and housing.
The city’s Financial Secretary Paul Chan, in his annual Budget speech yesterday, said that innovation and technology is undoubtedly an economic driver. “To shine in the fierce innovation and technology race amidst keen competition, Hong Kong must optimise its resources by focusing on developing its areas of strength, namely biotechnology, artificial intelligence, smart city and financial technologies (Fintech), and forge ahead according to the eight major directions set out by the Chief Executive.”
He pledged to set aside HK$50 billion this year, on top of the HK$10 billion announced last year, to fund the growth of innovative and creative industries, as well as research and development.
In particular, the government will fund two research clusters on healthcare technologies, artificial intelligence and robotics technologies, to attract the world’s top scientific research bodies and technology enterprises.
It is also giving money to Cyberport to enhance support for start-ups and promote the development of a digital technology ecosystem.
The move to go big on innovation and technology comes as Hong Kong struggles to compete with Shenzhen and Singapore in these areas.
PwC Hong Kong partner Jeremy Choi told The Straits Times he welcomed the “balanced budget”, but said the government could do more in terms of incentivising companies to develop technologies in the city.
