Hong Kong launches $1Bn tech fund to boost innovation
HONG KONG, CHINA —The Hong Kong government recently unveiled an HK$10 billion (US$1.28 billion) Innovation and Technology Industry-Oriented Fund, which is set for disbursement in April 2026.
The announcement was made by Secretary for Innovation, Technology and Industry Sun Dong, who also introduced a task force to spearhead the city’s technological development.
The fund, structured as a “fund-of-funds,” aims to attract investments in high-potential sectors, including life sciences, artificial intelligence, robotics, and semiconductors. According to Sun, the task force will appoint a consultancy firm to assess Hong Kong’s current innovation landscape and identify opportunities outlined in the 2022 Hong Kong Innovation and Technology Development Blueprint.
“The SAR government needs to equip itself with a clear and comprehensive understanding of the current situation,” Sun emphasized.
Long-term vision for industrialization
This initiative aligns with Hong Kong’s Chief Executive John Lee Ka-chiu’s medium- to long-term strategy for industrialization, as detailed in his October 2024 Policy Address.
The strategy focuses on fostering collaborations between local institutions and newly listed companies, creating cooperative platforms, and providing financial support to drive innovation.
The task force will also refine proposals submitted by over 130 local and international companies that participated in a recent briefing session. Legislative Council approval will be sought before fund disbursement begins by April 2026.
Cybersecurity and talent development in focus
Beyond financial investments, the government is prioritizing cybersecurity improvements and plans to invite mainland cybersecurity firms and talent to establish operations in Hong Kong. This move is aimed at strengthening the city’s digital resilience while enhancing its appeal as an innovation hub.
By channeling resources into emerging industries and fostering collaboration among stakeholders, Hong Kong seeks to solidify its position as a global leader in innovation and technology.
Competitive edge over regional neighbors
The task force will also evaluate Hong Kong’s competitive advantages over neighboring regions to ensure the city remains at the forefront of technological advancements. With significant investments in strategically important sectors, the government hopes to create a thriving ecosystem that attracts both local and international players.
This comprehensive approach underscores Hong Kong’s commitment to driving economic growth through innovation while addressing challenges in an increasingly competitive global landscape.
