Paul Chan: Hong Kong to Develop AI Through "Twin-Engine Strategy"

On November 5, Paul Chan Mo-po, Financial Secretary of the Hong Kong Special Administrative Region Government, stated in his keynote speech at the 2025 International Financial Leaders Investment Summit that AI has become a keyword of this era, reshaping life, work, entertainment, and more, and has become a powerful enabler driving development in core sectors such as finance, logistics, healthcare, and smart manufacturing.

Chan said that Hong Kong will develop artificial intelligence (AI) through a "Twin-Engine Strategy," which involves developing AI-centric industries on one hand, and promoting the use of AI to assist traditional industries and enterprises in their transformation and upgrading on the other. This strategy will focus on six key pillar areas: computing power, algorithms, application scenarios, data, capital, and talent.

"The Guangdong-Hong Kong-Macao Greater Bay Area provides direct and seamless application scenarios for AI technology, allowing it to be tested and validated in real industrial environments," Chan stated. He added that Hong Kong is acting swiftly to build a vibrant and globally connected AI ecosystem. As an international financial centre, Hong Kong is utilizing innovative financial instruments to meet the diverse financing needs of emerging economies. Citing catastrophe bonds as an example, he noted that such instruments can serve as important risk transfer tools for countries prone to natural disasters. Since 2021, Hong Kong has issued seven catastrophe bonds totaling USD 800 million, providing support for countries in Asia, the Americas, and Africa to mitigate risks from typhoons, earthquakes, and other disasters.