Chief Executive John Lee vowed on Tuesday to reform and innovate as part of efforts to drive Hong Kong's development.

This came after the director of the Hong Kong and Macau Affairs Office, Xia Baolong, called on the SAR during his recent trip to the city to capitalise on its present stable situation by focusing on economic development and improving people's livelihood.

Speaking ahead of the Executive Council meeting, Lee said local officials will strike a balance between safeguarding national security and pushing for development.

"We will boldly reform, innovate and create," he said.

"We shall make development of industries our fundamental goal, enhance innovation and technology, and drive reforms to speed up and strengthen efficiency."

Lee stressed the government will speed up the development of the Northern Metropolis, including the Hetao-Shenzhen Hong Kong Science and Technology Innovation Cooperation Zone.

Hong Kong, he added, will leverage its connectivity with the mainland and the world to promote the flow of capital and technology between international and mainland companies.

The city will enhance traditional strengths, he said, and become more competitive in finance, trade, shipping and technology.

The CE went on to say that Hong Kong will fully and accurately implement the "One Country, Two Systems" principle and adopt a holistic approach to national security while adhering to the foundation of the rule of law.