Chen Maobo: The Hong Kong government adopts a fiscal integration strategy to gradually narrow the fiscal deficit.

On February 28, Hong Kong Financial Secretary Paul Chan Mo-po delivered the 2024-25 budget. Paul Chan Mo-po stated that in the public finance sector, it is necessary to enter a phase of consolidation after the epidemic. After careful consideration, the Hong Kong government will adopt a strategy of financial consolidation to gradually reduce the fiscal deficit and restore balance between revenue and expenditure. Paul Chan Mo-po pointed out that the theme of the budget is to maintain confidence, seize opportunities, and promote high-quality development. In the year following the normalization after the epidemic, society and citizens have ushered in the long-awaited return to normal life, with an increase in tourist arrivals and economic growth recovery. A series of events have boosted the market sentiment. At the same time, the uncertain geopolitical situation and the high interest rate environment have affected the flow of funds; the resumption of outbound travel and changes in consumption patterns by citizens; changes in the preferences of visitors to Hong Kong, along with competition from other economies, have all had an impact on economic confidence. He stated that in the complex and ever-changing international environment, with the continuous evolution of the economy and society, the driving force for the recovery of the Hong Kong economy needs to be strengthened. The uneven recovery of different industries needs attention, and some inhibiting factors need to be gradually addressed. Technological innovation and data empowerment have given rise to more new business models; but at the same time, they have intensified competition, posing challenges for many companies. In recent years, there has been a strong push for innovation research and the transformation of outcomes, as well as an accelerated push for digital transformation, providing favorable equipment to address changes. Paul Chan Mo-po also stated that the steady development of the country provides solid support for Hong Kong. The institutional advantages of "one country, two systems" in Hong Kong and its high degree of internationalization will attract more talents, funds, and businesses. He is confident in the development of Hong Kong.