New budget guides Hong Kong's economy towards steady growth: various sectors

HONG KONG -- Various sectors in Hong Kong believed that the Hong Kong Special Administrative Region government's 2025-26 budget, which was released on Wednesday, is a comprehensive, robust, and pragmatic budget that further strengthens society's confidence in the future.

The new budget proposed a "reinforced version" of a fiscal consolidation strategy, which strictly controls public expenditures while maintaining and improving public services. It appropriately expands revenue sources in consideration of Hong Kong's competitiveness and the "user pays" principle. Furthermore, it flexibly and effectively utilizes other public resources and market forces to accelerate development and invest in the future.

These measures have gained support from various sectors, with many believing they can provide a sustainable financial foundation for Hong Kong's future development.

The budget proposed pragmatic measures to improve public finances, focusing primarily on strictly controlling government expenditures, supplemented by suitably increasing revenue, to steadily restore fiscal balance while taking into account the actual social situation and Hong Kong's competitiveness, said HKSAR Chief Executive John Lee.

The Chinese Manufacturers' Association of Hong Kong said that due to several consecutive years of fiscal deficits in Hong Kong, the budget proposed a "reinforced version" of a fiscal consolidation strategy. The association commended the HKSAR government for setting an example and taking bold steps, which helps to boost confidence of various sectors in Hong Kong's gradual return to fiscal balance.

The new budget is full of highlights, emphasizing on upholding principles and innovation, and cultivating new quality productive forces.

Chan Kwok-ki, chief secretary for administration of the HKSAR government, said that the budget strategically allocated resources to promote artificial intelligence as a core industry and empower industry development through technology, with a view to developing Hong Kong into an international innovation and technology hub.

Leonard Chan, chairman of the Hong Kong Innovative Technology Development Association, said that the new budget continued to focus on technological innovation. It not only demonstrated the foresight and determination of the HKSAR government, but also painted a hopeful picture for Hong Kong's future.

While delivering the budget, Financial Secretary of the HKSAR government Paul Chan said that it is imperative for Hong Kong to leverage on its strategic positioning as the "three centers and a hub" and make good use of the advantages of "one country, two systems."

Chan said that with the resolute support of the motherland, Hong Kong must consolidate and strengthen industries with clear advantages whilst actively nurturing and developing new industries, injecting new impetus to Hong Kong's economy so that Hong Kong could contribute to the Chinese path to modernization while realizing faster and better development.

Members from various sectors in Hong Kong support the HKSAR government in implementing the budget, believing that the relevant measures will help boost public confidence, stimulate economic growth, and open a new chapter for Hong Kong's medium- and long-term development.

Hong Kong's Securities and Futures Commission (SFC) welcomed the measures proposed in the budget to further enhance Hong Kong's competitive edge as an international financial center.

SFC Chairman Kelvin Wong said that the measures will further advance Hong Kong's securities and derivatives markets and reinforce its position as an asset and wealth management hub.

Regina Ip, the convenor of the Executive Council of the HKSAR, said that this is a pragmatic and reform-oriented budget that enables Hong Kong to better grasp its positioning as "three centers and a hub," injecting strong momentum into the economy.