Hongkongers should not look down on the city or speak badly about themselves, Chief Executive John Lee said on Monday, as he urged people to have confidence in the SAR.

At a luncheon, Lee said Hong Kong's economy is making steady progress and gradually improving, and the territory is maintaining its advantages on various fronts.

"We shouldn't belittle ourselves, badmouth ourselves, or jeer at ourselves," he said.

"Instead, we should make good use of our strengths – Hong Kong people's perseverance, the ability to be flexible, and the power of innovation and creativity – to work hard together for the future development of Hong Kong."

The CE said Hong Kong's strengths have given it a boost in confidence in defending its status as an international financial centre, something Lee said was not established overnight.

Other than finance, the SAR is also looking to develop an artificial intelligence supercomputing centre, as well as the arts, culture and creative industries with a blueprint set to be announced this month, the CE said.

Lee added that Hong Kong has "the DNA of success" and he is very confident in the city's prospects, urging people to have faith in themselves and the SAR.