Hong Kong’s Booming Startup Ecosystem Draws Global Founders

Hong Kong’s startup ecosystem is thriving, attracting a growing number of local and international founders. The city’s business-friendly environment and strong innovation support make it an appealing base for startups aiming to expand in the region.

Startups thriving in HK.

One of them is a Hong Kong fintech startup that was acquired last year by a loyalty and travel rewards platform from Singapore.

David B Wang, the platform’s Global Head of Loyalty Partnerships and General Manager of Hong Kong, said the city offers favourable conditions for startup development.

Hong Kong is first and foremost a travel hub, he noted, adding that following the COVID-19 pandemic recovery, passenger traffic at Hong Kong International Airport has benefited significantly, and with a new terminal opening, he expects travel demand to continue growing.

David B Wang, the platform’s Global Head of Loyalty Partnerships and General Manager of Hong Kong.

Mr Wang also highlighted Hong Kong as a dynamic fintech hub that unites financial services and innovation, enabling companies to test new ideas and products. He also expressed appreciation for the various partners and stakeholders who supported the company’s entry into Hong Kong.

“Thanks to organisations, including Cyberport and Invest Hong Kong, for giving us the resources and showing us that there is an ecosystem here for us to tap into so that we can accelerate our growth and expansion to the market.”

Startups thriving in HK.

Last year, the number of startups and startup employees in Hong Kong reached new all-time highs. According to Invest Hong Kong, the number of startup firms in the city exceeded 5,200 in 2025, representing an 11% year-on-year increase. These companies employed nearly 20,000 people, reflecting growth of 12% compared with the previous year.

Director-General of Investment Promotion Alpha Lau said Hong Kong’s appeal extends far beyond its borders, with international founders accounting for approximately 33% of the city’s startup community, demonstrating that it is an ideal place for such firms.

“Whether they are local or from around the region using Hong Kong’s wonderful ecosystem for financing, or whether it is to look for support from government funding or develop test cases so that they can grow their dreams.”

Director-General of Investment Promotion Alpha Lau.

In 2025, Invest Hong Kong helped 560 companies to set up or expand their operations in the city. These companies are expected to bring in nearly $70 billion in direct investment and create more than 10,000 new jobs.

In addition, the New Capital Investment Entrant Scheme, which is partly administered by Invest Hong Kong, received more than 2,850 applications last year, and is expected to bring in investment of more than $85.5 billion to Hong Kong.

Looking ahead, Ms Lau said the department will focus on the Northern Metropolis and supporting Mainland enterprises in “going global” through Hong Kong.

Startups thriving in HK.

She said as Chinese Mainland industries continue to grow and expand their sales, technologies and investments abroad, Invest Hong Kong will help them to use the city as a platform. This includes managing the functions of their regional headquarters, fundraising, serving as a corporate treasury centre, and managing international operations.

Ms Lau outlined that the department will also identify companies that are interested in using the Northern Metropolis to expand their businesses, such as technology companies looking to establish research and development functions and pursue advanced manufacturing in the area.

Speech by SFST at Listing Ceremony of Hang Seng Gold ETF (English Only)

Following is the speech by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, at the Listing Ceremony of Hang Seng Gold ETF (exchange-traded fund) today (January 29):

Kelvin (Chairman of the Securities and Futures Commission, Dr Kelvin Wong), Luanne (Executive Director and Chief Executive of Hang Seng Bank, Ms Luanne Lim), Rosita (Director and Chief Executive Officer of Hang Seng Investment Management Limited, Ms Rosita Lee), ladies and gentlemen, and distinguished guests,

Good morning. It is a great privilege to address you today as we mark a pivotal new chapter in Hong Kong's financial market. With our determined efforts to position the city as a premier international gold trading hub, as indicated by the Chief Executive's Policy Address, the listing of the Hang Seng Gold ETF represents strong support for this vision and contributes to the growth and innovation of Hong Kong's gold market.

In recent years, sovereign and financial investors have increasingly sought diversification for reserves and asset allocation. Gold's attributes - as a commodity, an investment vehicle, and a safe-haven asset - have strengthened further, driving sustained price appreciation. Global gold demand in value terms surged 44 per cent year-on-year in the third quarter of last year, reaching a record US$146 billion. Gold ETF holdings also rose substantially, climbing by 222 tonnes in the quarter to exceed 3 800 tonnes, underscoring robust investor appetite amid geopolitical uncertainties and market volatility.

Photo source: reference image

We are delighted to welcome the listing of the Hang Seng Gold ETF. As the first ETF in Hong Kong that supports physical gold redemption at bank, it seamlessly blends the flexibility and liquidity of an ETF with the security of physical commodities. This enables smooth trading, secure storage, and flexible redemption - all conducted entirely within Hong Kong. We are also encouraged by the continued momentum of financial innovation here and look forward to even greater advancements. The exploration of distribution through licensed digital asset exchanges will help bridge traditional and digital finance, unlocking new opportunities.

The Hang Seng Bank, Photo source: reference image

This initiative aligns fully with the vision set out in the Chief Executive's 2025 Policy Address, which calls for accelerated development of a world-class international gold trading market. Key measures include establishing a central clearing system for gold in Hong Kong that provides efficient, reliable services in strict compliance with international standards, while inviting participation from the Shanghai Gold Exchange to facilitate collaboration with the Mainland.

A landmark milestone was achieved this Monday with the signing of a co-operation agreement between my bureau and the Shanghai Gold Exchange at the Asian Financial Forum earlier this week. This partnership lays a solid foundation for Hong Kong's gold central clearing system to connect with the Mainland market.

The Hong Kong Precious Metals Central Clearing Company Limited, wholly owned by the Hong Kong SAR (Special Administrative Region) Government, will operate this system. Together with our partners, we will drive its efficient development, ensuring alignment with international standards and also promoting greater trust, transparency, and innovation in the gold market.

In closing, I wish the listing every success. By working hand in hand with the market, we are building a more connected, efficient, and innovative gold ecosystem that benefits investors regionally and also globally. Thank you.

Mr Christopher Hui, Photo source: news.gov.hk