Hong Kong 2026-27 Budget: Driving High-quality, Inclusive Growth with Innovation and Finance

HONG KONG SAR – The Hong Kong SAR Government has always been committed to driving high-quality, inclusive economic growth. And in his 2026-27 Budget speech, Financial Secretary Paul Chan reaffirmed this commitment by announcing a series of initiatives. These initiatives aim to support and diversify Hong Kong’s economy, promote innovation and technology, and accelerate the development of the Northern Metropolis.

In light of the global economic challenges and uncertainties, Hong Kong’s economy has proven to be resilient and remains one of the most competitive and dynamic in the world. This success is due to the government’s sound economic policies and its continuous efforts to drive growth through innovation and technology. The 2026-27 budget builds on this momentum and focuses on key areas to further strengthen the city’s diverse economy.

Acknowledging the importance of innovation and technology in driving economic growth, the 2026-27 budget allocated HK$25 billion to the Innovation and Technology Bureau. This funding will be used to enhance the city’s research and development capabilities, nurture local talent, and support the development of emerging industries. It also includes measures to encourage cooperation between the academic and business sectors, promoting knowledge transfer and fostering a culture of innovation.

In addition, the budget has set aside HK$5.5 billion for the establishment of two new technology parks. These parks will serve as hubs for start-ups and technology companies, providing them with the necessary resources and support to flourish. This move demonstrates the government’s determination to build a more diversified economy, with a stronger focus on high-value-added industries.

The government also recognized the importance of financing and investment in supporting the growth of businesses. To this end, the 2026-27 budget introduced tax concessions for corporate treasury centres and ship leasing companies, promoting the development of Hong Kong’s finance industry. It also introduced measures to enhance the city’s position as an international financial hub, including initiatives to promote green finance and measures to attract more listings on the Hong Kong stock exchange.

The budget also laid out plans to bolster the city’s connectivity and accelerate its development as the Northern Metropolis. With HK$69 billion allocated for the development of transport infrastructure and the creation of more than 50,000 jobs, the Northern Metropolis is poised to become the economic engine of the Greater Bay Area. This development will provide new business opportunities and boost economic activity in the region, further solidifying Hong Kong’s position as a global metropolis.

Apart from driving economic growth, the 2026-27 budget also prioritizes the well-being of Hong Kong’s citizens. HK$11 billion has been set aside for initiatives to support the elderly and those in need, including enhancing healthcare services and providing more affordable housing. This commitment to social welfare underscores the government’s efforts towards creating a caring and inclusive society.

In conclusion, the 2026-27 budget sets the stage for Hong Kong’s continued economic success. With a strong focus on innovation, technology, finance, and infrastructure development, the government is determined to drive high-quality, sustainable, and inclusive growth. These initiatives will not only support existing industries but also pave the way for the development of new sectors, providing more opportunities and creating a brighter future for Hong Kong and its citizens.