The Government today announced the official launch of the intellectual property (IP) financing sandbox and the opening of the Hong Kong Technology & Innovation Support Centre, marking key milestones in promoting IP financing and further developing Hong Kong’s IP trading ecosystem while fostering innovation.

The IP financing sandbox was jointly launched by the Commerce & Economic Development Bureau (CEDB), the Intellectual Property Department (IPD) and the Hong Kong Monetary Authority (HKMA).

As set out in the Chief Executive’s 2025 Policy Address, the IP financing sandbox aims to assist pilot sectors in leveraging IP assets for financing.

The sandbox serves to provide a collaborative and risk-controlled environment for banks, IP valuation firms, legal practitioners and other relevant professions to test the full lifecycle of IP financing arrangements that are based on IP assets such as patents, trademarks and copyrights.

Through the sandbox, banks can develop and refine their IP financing arrangements with the support from multidisciplinary professionals as well as guidance by the HKMA, the CEDB and the IPD.

This initiative can also enable banks to accumulate practical experience in providing IP financing to better serve the needs of innovative enterprises, particularly small and medium-sized enterprises which are rich in IP assets but may lack tangible assets that can be pledged as collateral for bank financing.

Three major banks in Hong Kong have joined the sandbox as inaugural participants, and have solicited interest from clients from the biotechnology, electronics and technology sectors to conduct pilot trials of IP financing through the sandbox.

Secretary for Commerce & Economic Development Algernon Yau said the IP financing sandbox, together with other related measures announced in the Chief Executive’s 2025 Policy Address, would help leverage Hong Kong’s unique strengths to build an ecosystem where IP is protected with rigour, valued with clarity, and financed with confidence, with a view to strengthening the city’s role as a regional IP trading centre.