Deputy Justice Secretary Horace Cheung on Sunday said the establishment of the International Organization for Mediation (IOMed) in the city will strengthen Hong Kong's position as an international legal and dispute resolution centre.

Foreign Minister Wang Yi will be in the SAR on Friday to attend a signing ceremony of the Convention on the Establishment of The International Organization for Mediation.

Cheung wrote on his social media page that IOMed will be the first and only international intergovernmental organisation to resolve international disputes by mediation, and will be on a par with the International Court of Justice and Permanent Court of Arbitration.

He said Hong Kong will be a "hub of mediation" which will attract not only people from around the world who need to settle disputes, but also international groups, NGOs and academic institutions.

This will further enhance Hong Kong's international position and popularity, and bring various benefits to the region, including the enhancement of the economy and politics, he said.

The government official said that the opening of IOMed's headquarters will also lead to new employment opportunities, for instance, mediators and translators, and will boost the development of international legal and dispute resolution services.

With more international events to be staged in the SAR, Cheung said he expects other sectors, including hotels, catering and logistics, will also see a boost in trade.

High-level representatives from almost 60 countries and some 20 international groups will attend Friday's ceremony.

Cheung said he expects IOMed's headquarters, at the site of the old Wan Chai Police Station, could open as soon as the end of the year.