Hong Kong attracts $160 billion in capital! The truth about the global capital frenzy

Awesome, Hong Kong!

Hong Kong Invest Hong Kong exceeds Policy Address Performance Indicators -(c) To attract capital of over HK$160 billion!

Source: Invest Hong Kong

📑 7月7日，香港投资推广署交出了一份亮眼的成绩单：2023年1月至2025年上半年共协助超过1,300家海外及中国内地企业在港开设或拓展业务，It has brought more than HK$160 billion of inward direct investment into Hong Kong and created more than 19,000 new jobs.

Source: Invest Hong Kong

This figure not only far exceeds the three-year target set in the 2022 Policy Address (1,130 businesses, $77 billion in investment, and 15,250 jobs), but it alsoRecord high. In the first half of 2025 alone, the number of settled companies reached 380, an increase of 18% over the same period last year.

01

Three main drivers of capital flows

At a time of uncertainty in the global economy.Why has Hong Kong been able to attract a flood of capital on such a scale?The data reveals three key trends.

👉安全资产港湾效应凸显

Amid geopolitical frictions and "reciprocal tariffs", international investors are desperate to find "safe havens". in the first half of 2025.The cumulative net inflow of southbound funds into the Hong Kong stock market exceeded HK$730 billion, with the Hang Seng Index leading the world's major stock indices with a gain of 20%.

Leung Ting-pong, former Chairman of the Hong Kong Monetary Authority (HKMA), points out the core: "Hong Kong has adopted the Hong Kong dollar-anchored US dollar system to take up capital flowing back from the US; and at the same time, it has seized the opportunity of internationalization of the RMB by facilitating the capital flow between the Mainland and Hong Kong through the connectivity system."

👉政策红利持续释放

The New Capital Investment Entrant Scheme (NCIES) launched by the Hong Kong SAR Government has become an attractive tool. As at the end of June 2025, over 1,500 applications had been received under the scheme.Expected to bring in over HK$46 billion of investmentOf this amount, HK$21 billion has been verified.

The optimization measures have even led to a surge in applications - an average of 150 applications per month after March 2025, double the previous average.

👉内地企业出海首选跳板

Of the 1,301 enterprises assisted by InvestHK to set up business in Hong Kong from January 2023 to June this year.Mainland enterprises reached 630, with a share of 48%, topped the list of sources.

The Director-General of Investment Promotion, Mr. Kenneth Lau, pointed out that "Hong Kong, with its world-class financial and legal industries, plays a role similar to that of an 'exhibition hall' by providing assistance to Mainland enterprises in the application of scientific research results, IP protection and commercialization."

02

Hong Kong's unique advantages

Irreplaceable free port status

The free flow of capital, a simple tax system (corporate income tax of 16.51 TP3T and personal income tax of up to 151 TP3T) and a common law system that is on par with international standards constitute Hong Kong's core competitiveness.

Multiple international rankings for 2025 bear this out:No. 1 in Asia-Pacific on the Global Financial Centers Index, No. 1 globally on the World Economic Freedom Ranking, No. 3 on the World Competitiveness Yearbook, and No. 3 globally on FDI inflows.

Depth and breadth of the financial system

The family office business has exploded and is nowThe Hong Kong Family Office has $4 trillion in assets under management.It is the second largest in the world, with the average size of the home office under management exceeding $50 million.

Compared with Singapore, Hong Kong has obvious advantages: no approval is required for the establishment of a home office, and relying on a more active science and technology investment ecosystem and listing channels, Hong Kong has a greater advantage in docking unicorn enterprises.

RMB Internationalization Hub Role Enhanced

act asThe world's largest offshore RMB business hub, Hong Kong handles about 80% of the world's offshore RMB payments.2025 In April, Hong Kong's RMB remittances related to RMB cross-border trade settlements totaled $1,362.1 billion, an increase of 15% from a year earlier.

In 2024, the issuance of Dim Sum Bonds, RMB-denominated bonds issued in Hong Kong, rose 31% year-on-year to US$94.4 billion.

The HK$160 billion is not the end of the road, but a vote of confidence in Hong Kong by global capital.

At a time of high demand for global capital hedging and profound restructuring of the regional landscape, Hong Kong, with its irreplaceable and unique advantages - theFree-flowing capital, simple tax regime, rule of law cornerstone, world-class financial depth and strong backing from the motherland-- once again proving its preeminent position as Asia's premier business and financial hub.

At a time when the world is full of uncertainties, Hong Kong's certainty and resilience are precisely its core codes for attracting global capital. If you are interested in doing business in Hong Kong and Hong Kong identity planning, please feel free to contact us!