HKSARG strongly opposes US Department of State's 2025 Investment Climate Statements: Hong Kong
A spokesman for the Hong Kong Special Administrative Region (HKSAR) Government said today (September 28) that the United States (US) Department of State's 2025 Investment Climate Statements (the Report) contains various biased assertions regarding Hong Kong's business environment. In particular, the Report continues to maliciously smear and make unfounded and false accusations against the Hong Kong National Security Law (HKNSL) and the Safeguarding National Security Ordinance (SNSO). For this, the HKSAR Government expresses strong discontent and firm opposition. The spokesman reiterated, "The implementation of national security laws has restored a safe and stable environment in Hong Kong, not only safeguarding the rights and freedoms of the general public but also making Hong Kong a more attractive and secure destination for international capital and investment. Various data clearly demonstrate that Hong Kong's outstanding business environment remains highly appealing to enterprises and investors and capital from around the world. Our core advantages, along with the HKSAR Government's efforts in promoting economic and social development, are widely recognised by the international community. The biased and inaccurate claims made in the Report are groundless and pale in comparison to the facts."
The spokesman continued, "In fact, since the beginning of this year, the Hong Kong stock market has performed strongly, with the Hang Seng Index rising by around 30 per cent. Initial public offering fundraising has surged, placing Hong Kong first globally. Bank deposits have increased by around 8 per cent, reaching close to HK$19 trillion. The asset and wealth management industry saw assets under management grow by 13 per cent year-on-year to over HK$35 trillion in 2024. Hong Kong is on track to become the world's largest cross-boundary wealth management centre within the next few years. These figures demonstrate that international investors are casting their vote of confidence in Hong Kong with concrete actions."
"Hong Kong continues to shine and rise in various international competitiveness rankings on economic freedom, finance, innovation and technology, education and talent. For instance, Hong Kong is recognised as the world's freest economy, one of the top three global financial centres, ranked third in global competitiveness, and, together with Shenzhen and Guangzhou, forms the world's leading innovation cluster."
"According to the World Investment Report 2025 published by the United Nations Conference on Trade and Development, Hong Kong attracted US$126 billion in foreign direct investment in 2024, ranking third globally. As of last year, nearly 10 000 companies with overseas and Chinese Mainland parent companies had chosen Hong Kong as their base, marking a historic high. Among them, nearly 1 400 were from the US, registering a 9 per cent increase year-on-year. Since the end of 2022, the Office for Attracting Strategic Enterprises has successfully brought in over 80 strategic enterprises to set up or expand their operations in Hong Kong, many of which are global leaders in cutting-edge technologies. In the first eight months of this year, Invest Hong Kong supported more than 440 enterprises in establishing or expanding their businesses in Hong Kong, representing a 14 per cent increase compared to the same period last year. Overseas and Chinese Mainland enterprises each accounted for about half of these projects. These all demonstrate that Hong Kong continues to be an ideal location for enterprises from around the world to set up and grow their businesses."
The spokesman said, "Under the 'one country, two systems' arrangement, the HKSAR continues to practise the common law and uphold the rule of law, and maintain a judiciary that exercises powers independently. Various surveys indicate that foreign businesses operating in Hong Kong generally express strong confidence in the city's rule of law. For example, the American Chamber of Commerce in Hong Kong's annual member survey published earlier this year showed that 83 per cent of US businesses based in Hong Kong were confident in Hong Kong's rule of law—an increase of 4 and 10 percentage points compared to 2024 and 2023, respectively. Meanwhile, 70 per cent of companies stated that their operations had not been negatively impacted by the national security laws. In fact, the legal provisions of the HKNSL and the SNSO, including their definitions, scope of application and target activities, are clearly defined. They also explicitly stipulate that property and investments within the HKSAR are protected by law. These laws in no way hinder the normal commercial activities or international exchanges of various organisations operating in Hong Kong. Judges, in handling all cases – including those involving national security – discharge their judicial duties independently and impartially, free from any interference. In the World Justice Project's Rule of Law Index 2024, Hong Kong maintained a high overall ranking, ahead of the United States and certain countries that frequently make unfounded criticisms of Hong Kong's rule of law and human rights."
The spokesman said, "Amid the intensifying geopolitical tensions, and rising unilateralism and protectionism that disrupt the international trade system and global economic order, Hong Kong will, as always, continue to steadfastly uphold its status as a free port under the 'one country, two systems' principle. We will maintain free trade policies and a simple, low tax regime, while ensuring the free flow of capital, information, goods and talent – fully leveraging our role as a 'super connector' and 'super value-adder'. We will proactively integrate into the overall national development plan and align with national development strategies. In addition to consolidating our strengths in the traditional sectors, we are committed to nurturing emerging industries and expanding into new sectors. While deepening ties with established markets, we are also making great strides in enhancing our engagement with the Global South. We cordially invite enterprises and talent from around the world to invest, establish businesses, and develop their careers in the city, and to jointly seize the promising opportunities presented by Hong Kong's bright future."
Source: AI-found images
