The Hong Kong government will work to diversify its finance and insurance sectors, according to its finance secretary speaking during the Legislative Council’s budget hearing on Tuesday.

Financial secretary Paul Chan Mo-po mentioned the financial service and insurance industries several times in his speech, highlighting their important roles in Hong Kong’s economy.

The government will dedicate HKD500 million (US$63.9 million) to help develop the financial services industry over the next five years. The amount will fund various endeavours promoting bond market development, fintech, green finance, and a training academy.

“We have played an unparalleled role in connecting the Mainland and the international markets and investors and achieved significant development in the process,” Chan said.

“Looking ahead, our financial services industry will have ample room for more diversified development. We will map out a development blueprint for it.”

Chan added that Hong Kong has become the “premier” listing venue and fundraising platform for many mainland Chinese industries.

With regard to insurance, Chan said that he would ask the recently created Insurance Authority (IA) to intensify efforts to develop Hong Kong as a competitive insurance hub in the region through tax arrangements and other regulatory requirements.

Moses Cheng, IA chairman, welcomed the initiative and pledged cooperation with the government’s plans.

“Our goal is to promote Hong Kong as a regional insurance hub, and strengthen Hong Kong’s role as a risk management centre for the Mainland and the infrastructural projects under the Belt and Road Initiative,” Cheng said.

Related stories:
Uncertainty emerges as Hong Kong implements new insurance accounting standard
New mainland economic zone seeks to attract Hong Kong insurers
Hong Kong life insurance market could see M&A frenzy