Invest Hong Kong sets record for projects completed

Director-General of Investment Promotion at Invest Hong Kong Simon Galpin said there has been steady growth in the annual number of projects completed by his department since its establishment in 2000.

Invest Hong Kong recently announced the department assisted 265 overseas, Mainland and Taiwanese companies in setting up or expanding their business presence in Hong Kong in 2009.

This achievement marks a record for the Hong Kong government’s investment promotion arm in attracting foreign direct investment (FDI) into the city. It also signifies external investors’ strong vote of confidence in Hong Kong despite the challenging global economic environment.

“In the face of the global economic downturn, 2009 was a challenging year for Invest Hong Kong,” Director-General of Investment Promotion at Invest Hong Kong Simon Galpin said. “The positive investment promotion results last year demonstrate that Hong Kong remains the base in Asia from which overseas, Mainland and Taiwanese companies prefer to expand their business.

“In these times of economic uncertainty, the enduring advantages of Hong Kong such as its rule of law, low and simple taxes, level playing field, free economy, world-class communications and transportation infrastructure and available talent pool, have become increasingly important. They continue to enable the city to act as a stable and secure platform for companies looking to do business in the region and beyond.”

Highlights of 2009

Invest Hong Kong assisted 265 companies in 2009, creating more than 6,000 jobs within the first two years of those companies’ operation or expansion in the city.

Geographically, Asia Pacific, Europe and North America accounted for 43%, 35% and 18%, respectively, of the number of Invest Hong Kong’s completed investment projects in 2009. The Mainland continued to be the single largest market by source of completed projects, followed by the United States and the United Kingdom.

By priority sector, the top three performers were business and professional services, including education services and design; technology, including renewable energy; and special projects, which includes environmental technology and the wine sector.

“Hong Kong’s strategic location and international exposure make it an ideal two-way service platform for Mainland companies to go global and for foreign companies to access opportunities in the Mainland,” Mr. Galpin said.

Looking forward

Invest Hong Kong recently realigned its priority sectors and strengthened its research and aftercare capabilities to encompass the six growth industries in which Hong Kong has a clear competitive advantage: testing and certification, medical services, innovation and technology, culture and creative industries, environmental industry and education services.

In 2010, the department will increase its activities to attract companies from such emerging markets as India, Latin America, the Middle East and Russia. In addition, Invest Hong Kong will continue to strengthen its marketing promotion efforts on the Mainland to assist corporations to expand internationally by using Hong Kong as their hub. It will also continue to organize joint promotion seminars with Mainland partners in key overseas cities to promote the combined advantages of Hong Kong and the Mainland, in particular the Pearl River Delta region.

Mr. Galpin noted the department’s pipeline of live projects is stronger than ever. “Investment promotion is crucial to our economic development and our long-term objectives of maintaining the status of Hong Kong as a leading location for international direct investment,” he said. “Our target for this year is to achieve 270 completed investment projects.”