Building Stronger China-ASEAN Relations

The Nexus of the China-ASEAN Super Runway

As a global business and networking hub where talents congregate and ideas flow freely in a safe, secure, and efficient environment, Hong Kong has decades of expertise and know-how in soft and hard infrastructure.

On the macro level, Hong Kong is well positioned to facilitate capital and interpersonal exchanges on vital projects, such as the internationalisation of the renminbi.

On the corporate side, the funding and investment needs of both ASEAN and Chinese Mainland corporations can be effectively handled in Hong Kong. For instance, 30 percent of Greater Bay Area businesses have cited the lack of the right local partners as the top challenge. This is an area Hong Kong can contribute to China-ASEAN relations. In addition to networks and connections, Hong Kong's world-class exhibition venues are ideal to host interpersonal exchanges.

Hong Kong's deep and well-connected investor pool can provide much needed liquidity. China currently requires significant green investment, estimated at $450-570 billion, to meet its green targets. With well-established financial reporting and compliance in corporate governance standards, Hong Kong can support the transition to a carbon-neutral society, through ESG and sustainable finance, emissions trading schemes, and more.

On the technology and innovation front, Hong Kong's advancements in artificial intelligence, blockchain and decentralisation-based technologies could serve ASEAN firms through disintermediation and expediting verification processes, covering property, tourism and recreation, and service sectors. With China seeking to sign up to the Digital Economy Partnership Agreement (DEPA), this presents a great opportunity for the ASEAN to engage China via Hong Kong, and to align fronts such as digital identities and regulatory practices with other signatories.