'HK an ideal spot to raise funds for infrastructure' - RTHK
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'HK an ideal spot to raise funds for infrastructure'

2025-06-12 HKT 12:43
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  • Finance chief Paul Chan says the SAR is moving fast to pioneer innovative financial models to attract more capital. Photo: RTHK
    Finance chief Paul Chan says the SAR is moving fast to pioneer innovative financial models to attract more capital. Photo: RTHK
Financial Secretary Paul Chan on Thursday said Hong Kong is well positioned to assist regions, especially those in the Global South, to raise funds to support large infrastructure projects.

His remark came as the International Conference on Roads and Railways 2025 kicked off in Wan Chai, with some 30 speakers and panellists gathering to discuss the latest trends in the industry.

Speaking at the event, Chan said the SAR is also moving fast to pioneer innovative financial models to attract more capital, such as the securitisation of infrastructure loans, a mechanism that transforms brownfield assets into investment products to support new greenfield projects.

He noted that the city has already issued two such tranches totalling US$800 million to aid over 50 projects in the Middle East, Asia Pacific and Latin America, while its green bonds account for about half the total in Asia.

"With a full suite of funding options, Hong Kong is where infrastructure projects from around the world could raise funds. This is particularly relevant for green and low-carbon infrastructure projects," he said.

"In regions where the infrastructure funding gap remains urgent and significant, particularly in the Global South, Hong Kong offers practical and scalable ways to catalyse sustainable growth and accelerate the delivery of essential transport projects."

Separately, the finance chief said the city is taking a lead in transit-oriented development (TOD), which refers to a planning approach that integrates high-density urban landscape with efficient public transport systems.

Chan said the Northern Metropolis is a good example of TOD, with its Northern Metropolis Highway and the Northern Link set to drive housing and commercial services.

He added that such an approach, if well-executed, can cut carbon emissions by up to 25 percent with the support of smart technology, such as EV charging networks and AI-optimised energy consumption.

A site visit for conference participants will be organised on Saturday to showcase the city's featured road and railway projects, including the Central Kowloon Route and the Tung Chung Line Extension.

'HK an ideal spot to raise funds for infrastructure'