Hong Kong ranks 4th in global FDI inflows
| Hong Kong ranked fourth in global foreign direct investment inflows for 2013.
Invest Hong Kong welcomed the United Nations Conference on Trade and Development's World Investment Report 2014, which ranked Hong Kong fourth in terms of global Foreign Direct Investment (FDI) inflows in 2013.
According to the annual report, global FDI inflows rose by 9% to US$1.45 trillion in 2013. Global FDI outflows rose by 5% to US$1.41 trillion, up from US$1.35 trillion in 2012.
In terms of global inflows, the U.S. ranked first (US$188 billion), followed by mainland China (US$124 billion), the Russian Federation (US$79 billion), Hong Kong (US$77 billion) and Brazil (US$64 billion). Hong Kong continues to be the second biggest FDI recipient in Asia after mainland China.
The report said Hong Kong had been "highly successful" in attracting transnational corporations (TNCs), with almost 1,400 such regional headquarters operating in Hong Kong as of 2013. The report added that Hong Kong continued to be one of the "major destinations" for the headquarters of TNCs targeting the markets of the Asia Pacific region.
In terms of outflows, Hong Kong ranked fifth with US$92 billion, after the U.S. (US$338 billion), Japan (US$136 billion), mainland China (US$101 billion) and the Russian Federation (US$95 billion).
Airport Authority sees record profits
| Hong Kong International Airport maintains its status as the world's busiest cargo airport for the fourth consecutive year.
Airport Authority Hong Kong (AA) reported another strong year in fiscal 2013/2014, including record-breaking traffic numbers and robust financial performance. For the 12 months ended on March 31, revenue and profit attributable to the equity shareholder surged 12.8% and 14.9%, respectively, to US$1.89 billion and US$827 million. Earnings before interest, taxes, depreciation and amortization also increased 12.3% year on year to US$1.27 million.
During the year, records were set in passenger volume (60.7 million) and aircraft movements (377,476), representing year-on-year growth of 6.1% and 6.3%. Cargo throughput rose 3.4% to 4.2 million metric tons, sustaining the airport’s status as the world’s busiest cargo airport for the fourth consecutive year.
Cross-boundary passenger trips between Hong Kong International Airport and destinations across the Pearl River Delta also saw steady growth, with approximately 2.7 million passengers traveling via SkyPier and 2 million passengers using the limousine and coach services. These figures represented gains of 1.7% and 1%, respectively, compared to last fiscal year.
Airport Authority appoints new Chief Executive
| Fred Lam
The board of Airport Authority Hong Kong (AA) appointed Fred Lam as Chief Executive Officer, succeeding Stanley Hui.
Unanimously endorsed by the AA board and approved by the Chief Executive of the Hong Kong Special Administrative Region Government , the appointment will be effective October 1 for a term of three years. Mr. Lam is currently the Executive Director of the Hong Kong Trade Development Council and heads an international team whose mission is to create and facilitate opportunities in international trade for Hong Kong-based companies.
During the transitional phase after Mr. Hui departs in mid-July and before Mr. Lam assumes the role, Executive Director of Airport Operations C. K. Ng will oversee the AA in the capacity of acting Chief Executive Officer.
StartmeupHK contest expands applicant pool
Building on the success of last year’s inaugural global competition, the StartmeupHK Venture Programme 2014 has broadened its reach to attract a wider range of aspiring entrepreneurs looking to grow their business from Hong Kong.
Organized by Invest Hong Kong, the program has expanded to include applicants who are at the concept and prototype stage with no revenue. The two categories open for applications:
- Category One: Ventures in the early to growth stage with revenue or significant users/customers
- Category Two: Startups at the concept and prototype stage with no revenue
Nine finalists will be selected from Category One and three from Category Two. There will also be two sector awards, in the fields of financial technology and smart city.
The 12 finalists will be invited to attend a four-day program in Hong Kong and present their ideas at the StartmeupHK Venture Forum in November.
Prizes worth more than US$500,000 include pro bono accounting, legal, design and branding advice and services, which are supported by sponsors including Baker Tilly, CoCoon, CWL Partners, Nest, Orangefield ICS, Paperclip Startup Campus and PricewaterhouseCoopers.
Details and the entry form for the StartmeupHK Venture Programme are available at www.startmeup.hk. Only online applications to the Venture Programme will be accepted. Applications close on July 31.
Stock exchanges to connect
The Shanghai-Hong Kong Stock Connect, a system for stock exchange connectivity across the border, will be launched after the preparatory work has been completed.
This pilot program will allow eligible mainland China investors to trade for the first time on the Stock Exchange of Hong Kong (SEHK) through the Shanghai Stock Exchange (SSE) directly. At the same time, it will allow Hong Kong and overseas investors to trade for the first time on the SSE through the SEHK.
Shanghai-Hong Kong Stock Connect program will enhance the two-way opening of the Mainland’s capital market and expand the cooperation with Hong Kong by further opening the market.
As a pilot program, it will be implemented in a progressive and risk-controlled manner, and cross-border investment will be subject to quotas. The buying of SEHK securities by Mainland investors will be capped at an aggregate net quota of RMB250 billion and a daily net quota of RMB10.5 billion. The buying of SSE securities by Hong Kong and overseas investors will be capped at an aggregate net quota of RMB300 billion and a daily net quota of RMB13 billion. The quotas will be subject to adjustment according to the actual operational circumstances.