Financial Secretary Paul Chan signalled on Friday that the government will soon release the second edition of the policy statement on the development of digital assets as part of efforts to capitalise on rising interest in such financial products.

The policy statement will focus on the integration of financial services as well as innovation, he noted.

Chan made the remarks at the Caixin Summer Summit 2025 in Admiralty, saying it is essential to explore ways of utilising digital finance to better support the development of the real economy, including in finance and cross-border financial services.

"Financial innovation is where we must win to become a financial powerhouse," he told participants.

"We have introduced the licensing system for digital asset trading platforms and stablecoin, and are advancing regulatory arrangements for custody and over-the-counter trading.

"This month, we will release the second policy statement on the development of digital assets in Hong Kong, focusing on the integration of financial services and innovation, as well as the expansion of application scenarios for digital assets."

Chan also said the Hong Kong interbank offered rate might remain low for a period of time – due to a surge in capital inflows to the city as global investors scale back on US dollar-denominated asset holdings and reallocate their investment portfolios.

He said the city offers a stable environment for investors amid complicated geopolitical landscape, adding that the government is also proactively attracting more leading mainland enterprises to list in the SAR to support their overseas expansion plans.