Why Hong Kong?

Charles d’Haussy, the Head of FinTech at Invest Hong Kong (InvestHK), gave a perfect answer to our question, saying, Hong Kong has all the ingredients to be the global and regional FinTech hub. It is one of the international financial centers, the freest economy, rule of law, large talent pool, a strong legacy of trade and work ethic. As well, Hong Kong is a very nice place to live in high efficiency and flexibility. The nature of the city makes networking and meeting people very easy.

The Hong Kong SAR (HKSAR) Government has pledged full support to the FinTech sector, mentioned by our Chief Executive in his latest Policy Address. Together with a strong lead from the private sector, the FinTech ecosystem in Hong Kong has become more vibrant.

Indeed, Hong Kong has been an innovation hub for many years and is uniquely positioned to become a launch-pad into the biggest consumer market in the world with the support of private and public sector entities.

Sources: Betatron, InvestHK, The World Bank, The GFHF, Long Finance, WEF, IMD, Priori Data, Akamai, GII, Doing Business, Startup HK, Freiser Institute, Heritage Foundation, UN Conference of Trade and Development

Moreover, Hong Kong has the highest rate of FinTech use of all markets surveyed (29.1%), followed by the United States (16.5%), Singapore (14.7%), the United Kingdom (14.3%), Australia (13%), and Canada (8.2%). As for the access to capital for FinTech, D’Haussy noted that the top 10 investments in the APAC FinTech ventures occurred in China and Hong Kong, accounting for 90% of overall APAC investments, and valued at $8.75 billion, while the APAC region has eclipsed Europe, which attracted $1.85 billion in the same period.

According to the FinTech’s global knowledge network MEDICI, over the past few years, Hong Kong FinTech startups raised over $310 million in funding. Moreover, Chinese money is expected to account for a third of Hong Kong’s stock trading turnover in three years, as reported by CNBC, up from a tenth now. Some traders say it could hit 50% within five years.

Emphasizing the long way that Hong Kong’s FinTech ecosystem came over the past several years, Henek Lo, General Manager (Australia, Hong Kong, South Korea) of WeWork, said, In just a few short years, Hong Kong has become a magnet — angel investors, venture capitalists, and young entrepreneurs from around the world have been attracted by the business-friendly climate. In addition, as an economic center, this city is a place where East meets West, leading to a real diverse culture that is full of energy and passion.

Hong Kong’s FinTech-Dedicated Stakeholders

Hong Kong has a strong and supportive community of FinTech authorities and investors, which includes:

Abovementioned InvestHK is one of the most prominent initiatives spearheading efforts to strengthen Hong Kong as Asia’s leading international business and financial center. Outlining the main reasons Hong Kong is a perfect place to start a business, InvestHK emphasizes the earlier-mentioned government support, strategic location as a gateway to the Asian market, low and simple tax regimes, world-class business infrastructure, business-friendly cities, availability of highly talented professionals and other important markers identifying a perfect hub to start and grow a business.

For FinTech startups looking to explore opportunities for their businesses in Hong Kong, the dedicated InvestHK FinTech team in Hong Kong, UK and US are the primary points of contact to receive free, confidential and customized services and assistances:

Being a highly competitive environment, Hong Kong is also one of the global locations for the most successful incubator programs and strong investors, such as: