Financial Secretary Paul Chan said on Wednesday that Hong Kong can expand into the Middle East market by providing risk assessment and financial services. Speaking on the RTHK programme Overview Policy, he said companies in the Middle East are eager to invest in China, Hong Kong and other Asian markets due to intensifying geopolitical tensions. Chan earlier visited Europe, the United States, Australia and the Middle East, with the aim of strengthening ties with traditional markets, as well as exploring new markets and capital sources. "In our exchanges, business leaders [in the Middle East] learnt about the real situation of how One Country, Two Systems is implemented in Hong Kong, and what can we do for them in terms of investing in mainland China," he said. "Entering and leaving Hong Kong is very easy, such as they can get to Shanghai and return on the same day through Hong Kong. On the other hand, we can provide them with professional services that are targeted towards the mainland and Asian markets, to be their guide and assess different kinds of risks." He added that investments from Europe and the United States have continued to pour into Hong Kong, despite negative claims by Western media. "When stock market performances improved earlier, more than 80 percent of capital came from Europe and America. Moreover, in terms of asset and investment management, a lot of international banks expanded their operations here. That's because the Greater Bay Area's economic development is quick, and people here are relatively more wealthy among all of China," he said. "We have to separate politics and the financial sector. Companies may express their own political views, but they also want returns in business." Chan also said the government is working hard to improve the city's economy. "We discussed with mainland authorities to expand the Individual Visit Scheme to more cities, and increase their duty-free allowance. We have also been attracting strategic enterprises since 2002, offered the Quality Migrant Admission Scheme, and hosted events such as the Global Financial Leaders' Investment Summit in November," he said.
