Financial Secretary Paul Chan, currently visiting Saudi Arabia, attended the Future Investment Initiative Summit there yesterday.

He spoke at one of the summit's key thematic discussion sessions and also held meetings with senior Saudi government officials and business leaders.

In the morning, Mr Chan attended the summit's opening ceremony and spoke at a session titled “Board of Changemakers: Public-Private Powerbrokers”.

The session brought together leaders from governments and businesses around the world to share insights on how public-private partnerships (PPPs) can foster economic and social development, energy transition and the advancement of technological sectors such as artificial intelligence and biotechnology, within the broader context of geopolitical and technological transformation.

Mr Chan shared Hong Kong's experience in promoting various PPP models, including the Build-Operate-Transfer model and the Rail-plus-Property model, which have incentivised private sector participation in infrastructure development.

He highlighted that the Hong Kong Special Administrative Region Government is expediting the development of the Northern Metropolis as a new engine for economic diversification, a key base for innovation and technology industries, and a source of quality employment opportunities. He said that Hong Kong is adopting a more flexible and proactive approach in developing the Northern Metropolis, including streamlining land allocation, importing talent and promoting co-investment arrangements, with a view to accelerating planning, construction and industry development.

Mr Chan also cited the establishment of the Hong Kong Investment Corporation (HKIC) by the Hong Kong SAR Government as another example of PPP. As "patient capital", the HKIC supports the involvement of companies, and ecosystem building, through co-investment and other means. It also partners with other funds in the market to channel capital into industries of strategic value, helping to enhance Hong Kong's long-term competitiveness and create quality jobs for society.

The Financial Secretary also attended other thematic sessions at the summit, including one in which Vice-President of the People's Republic of China Han Zheng delivered a keynote speech.

In addition, Mr Chan held bilateral meetings with a number of local political and business leaders, including Saudi Arabian Vice Minister of Finance Abdulmuhsen bin Saad Alkhalaf, Diriyah Company's Group Chief Executive Officer Jerry Inzerillo, Chief Executive Officer of New Murabba Development Company under the Public Investment Fund of Saudi Arabia Michael Dyke, and Red Sea Global's Chief Financial Officer Martin Greenslade.

In the evening, Mr Chan attended a business seminar hosted by China Investment Corporation and delivered a keynote speech.

He remarked that the Middle East has set out an ambitious development vision and possesses strong growth momentum, while at the same time China is pursuing high-quality development, including high-level two-way opening-up. There is vast room, he said. for collaboration between the two regions in areas such as capital, technology and industrial connectivity.

Mr Chan said that Hong Kong, as the world's freest economy, enjoys distinctive advantages under the “one country, two systems” principle. These include the common law system, free flow of capital, goods and information, a simple and low tax regime, and a linked exchange rate system between the Hong Kong dollar and the US dollar.

As the world's No. 3 international financial centre, Hong Kong is not only an international fundraising and professional services platform for Mainland enterprises going global, but also an ideal gateway for Middle Eastern businesses to access the Mainland market. Mr Chan said that around 300 Mainland enterprises are in the pipeline for listing in Hong Kong, with many of these firms planning to expand into the Middle East.

Mr Chan also highlighted Hong Kong's leading position in offshore renminbi (RMB) business, asset and wealth management, and the family office sector. Hong Kong is the world's largest offshore RMB hub. With trade between China and Saudi Arabia being increasingly settled in local currencies, demand for RMB-denominated assets and risk management products is expected to grow.

The finance chief outlined that Hong Kong is Asia's premier centre for asset and wealth management, with assets under management exceeding US$4.5 trillion, and boasts a vibrant ecosystem for family offices.

He extended a sincere invitation to more enterprises and institutions from Saudi Arabia and the wider Middle East to leverage Hong Kong's platform, and to join hands in opening a new chapter in cooperation between Asia and the Middle East.