Hong Kong takes third spot in global financial center ranking

Melody Chen

Hong Kong climbed to third place globally and the first in Asia in the latest Global Financial Centres Index, taking the top spot in 'investment management' worldwide.

The GFCI report by Z/Yen from the United Kingdom and the China Development Institute from Shenzhen assessed 121 financial centers.

The report is released in March and September every year since 2007.

Hong Kong's ranking improved by one position from the March issue of the index this year, with an overall rating increase of eight points, the largest improvement among the top five financial centers.

New York and London took the top two spots with Hong Kong back in third place - the first time since March 2022 that it has ranked higher than Singapore in the same survey.

"The report clearly affirms Hong Kong's status and strengths as a leading global financial center, with scores ranking among the top in various areas of competitiveness, including business environment, human capital, infrastructure and reputational and general," a government spokesman said.

Meanwhile, the city's ranking for fintech offerings rose by five positions to ninth, placing it among the top ten fintech hubs globally.

Secretary for Financial Services and the Treasury Christopher Hui Ching-yu said that the current government has launched several initiatives to reform the stock market, promote green finance, and establish a regulatory framework for virtual assets to enhance Hong Kong's status as an international financial center.

Previously, Hui and Hong Kong Monetary Authority chief executive Eddie Yue Wai-man dismissed assertions that Hong Kong is now a "ruin" of an international financial center due to the weak performance of the stock market and initial public offerings market.

Hong Kong's assets under management rose by about 2 percent from the previous year to over HK$31 trillion by the end of 2023, with net fund inflows approaching HK$390 billion, marking a year-on-year increase of over 3.4 times.