Chen Maobo: The advantages of Hong Kong's financial market in "internal connection and external communication" are actively and steadily advancing.

On January 15th, Hong Kong Financial Secretary Paul Chan Mo-po stated in his speech at the 2nd Hong Kong Capital Market Forum 2025 that Hong Kong's financial market advantage of "linking internally and externally" is actively progressing steadily. On the internal link side, the interconnectivity between the Mainland and Hong Kong financial markets has greatly improved with the joint efforts of regulatory authorities and relevant institutions in both places. Measures such as the "Three Connections, Three Facilitations" announced in January last year, a series of measures announced by the China Securities Regulatory Commission in April to deepen cooperation between the two capital markets, and various initiatives announced by the People's Bank of China and the Hong Kong Monetary Authority this week to deepen financial cooperation have significantly enhanced Hong Kong's connectivity with the Mainland and international capital markets. Paul Chan Mo-po mentioned that people may be particularly interested in the Governor of the Peoples Bank of China, Yi Gang, indicating an increase in the proportion of national foreign exchange reserves allocated to assets in Hong Kong, which will undoubtedly increase liquidity and attractiveness of Hong Kong's capital market. On the external link side, Hong Kong actively explores new markets, investors, and sources of funds. The successful listing of two ETFs investing in Hong Kong stocks on the Saudi Stock Exchange at the end of last year was an important milestone. Paul Chan Mo-po pointed out that despite fluctuations in the stock market last year, the new stock market in Hong Kong has significantly warmed up, and the amount raised through IPOs exceeded HK$80 billion, almost double that of 2023, putting it back at the world's fourth place. The positive expectations for the market recovery are expected to continue this year. In fact, according to data from the Hong Kong Stock Exchange, there are approximately 100 companies currently waiting to go public. It was reported that as of the end of November last year, total bank deposits in Hong Kong increased by over HK$1 trillion, a growth of over 6%. In the bond market, the total amount of bonds issued in Hong Kong reached US$510 billion in the first nine months of last year, higher than the same period in 2023. In the asset and wealth management industry, the latest statistics show that the assets managed in Hong Kong exceed HK$31 trillion, and the family office business continues to grow, with approximately 2,700 single-family offices operating in Hong Kong, with more than half established by individuals with assets exceeding US$50 million. Furthermore, Hong Kong and mainland authorities are actively promoting the deepening of mutual connectivity to allow more overseas capital to use the Hong Kong platform to invest in the Mainland, as well as facilitate Mainland enterprises and funds to allocate assets overseas. Improving and expanding Hong Kong's offshore Renminbi business, providing more investment and risk management tools to meet the needs of domestic and foreign investors, and supporting the steady and orderly progress of the internationalization of the Renminbi. In areas of expertise such as asset and wealth management, efforts are being made to attract global funds and ultra-high-net-worth individuals to converge in Hong Kong, to earn money and promote the development of philanthropic causes. Increased investment and guidance are being provided to support the development of the technology and innovation industry and accelerate the cultivation of new productive forces.