2024-25 Budget: Advance with Confidence, Seize Opportunities, Strive for High-quality Development

The Financial Secretary, Mr Paul Chan, delivered the 2024-25 Budget on 28 February 2024 and announced a series of measures, aiming to promote high-quality economic development amid the complicated and ever-changing international environment.

Economic figures speak for the current positive economic development momentum of Hong Kong. In 2023, Hong Kong recorded a solid economic rebound after the pandemic with GDP growth of 3.2%, following a contraction of 3.7% in 2022. The economy grew at a year-on-year rate of 2.7% in the first quarter of 2024, and the unemployment rate stayed at a low level of around 3.0% in the same period, signalling almost full employment. It is estimated that there will be a growth of about 2.5% to 3.5% for the whole year.

Hong Kong has been open for business from all around the world, bringing together local and foreign capital and talents. The Financial Secretary introduced a string of measures to take on the momentum of the steady economy development, and continue to attract enterprises, capital and talent on all fronts. The Budget also continues to focus on green development and the digital economy, and includes measures to guide industries towards high-quality development. In addition to developing sectors such as innovation and technology and finance, the Budget suggests positioning Hong Kong as a multinational supply chain management centre which helps Mainland enterprises going global.

After the Budget is announced, latest figures in May 2024 show that the Office for Attracting Strategic Enterprises has managed to attract around some 50 strategic enterprises partners, which have or will set up their business and bring along their supply chains to Hong Kong with an estimated investment of over HK$40 billion (EUR 4. 7 billion) and creation of 13 000 jobs over the next few years. The Top Talent Pass Scheme and other talent admission programmes, which seek to attract elites with rich work experience and good academic qualifications from all over the world, have received overwhelming responses. More than 290 000 applications received and around 120 000 people have already arrived in Hong Kong since late 2022.

Hong Kong has been a premier destination for business and tourism and the Budget highlights that more mega events and thematic annual conferences will be hosted in the city. This includes making good use of Victoria Harbour by holding monthly pyrotechnic and drone shows and revamping “A Symphony of Lights”. Immersive and in-depth tourism, as well as local group-tour activities, will also be promoted.

It was announced in May 2024 that more than 100 mega events would be held in Hong Kong in the second half of 2024, which brings the total number of mega events in the city to at least 210 this year. The events are expected to attract about 1.7 million visitors with approximate $7.2 billion spending in Hong Kong, leading to an economic gain of about $4.3 billion.

For more details on the 2024-25 Budget, please click here.