Financial services chief Christopher Hui on Friday brushed aside online remarks that Hong Kong is now just a “relic” of an international financial centre (IFC), saying the SAR’s market remains highly resilient.
Some online posts have recently emerged on mainland social media sites, saying Hong Kong being an international financial centre is now a thing of the past, following the stock market declines this year.
Writing on his official blog, Hui refuted these claims, saying the uncertain macro environment, unstable geopolitical situation, as well as “higher for longer” interest rates have inevitably hampered growth and the city’s fundraising ability.
However, he stressed the city’s financial market remains stable and resilient.
“Hong Kong's status as an IFC is not a tower or a monument that can be crushed by pressure,” Hui wrote.
“Hong Kong's success as an IFC relies on its unique position under the ‘One Country, Two Systems’ principle, the long-term efforts of the government, regulators and the industry, and the reputation of international investors and financiers.”
The financial services chief added that there’s been no significant capital outflow from the city’s banking system, saying total deposits with authorised institutions have grown 2.3 percent in the first nine months of the year.
Hui also noted that the total value of the securities market stood at HK$30.8 trillion at the end of October, up 17 percent from the same period last year.
Hong Kong’s stock market was among the worst performing this year, with the benchmark index shedding another 1.3 percent on Friday to the lowest level so far.