(Budget 2026) $20b injection planned for Hetao, San Tin tech development

Financial Secretary Paul Chan Mo-po on Wednesday proposed a HK$20 billion capital injection to accelerate the development of the Hetao Hong Kong Park and the San Tin Technopole, key infrastructure projects under the Northern Metropolis blueprint aimed at deepening Hong Kong’s innovation and technology ecosystem.

In his annual Budget, Chan said the government will promote full integration between technological innovation and industrial development through major platforms, including the Hetao Hong Kong Park and the San Tin Technopole.

He said the government will seek approval from the Legislative Council to inject HK$10 billion into the park company overseeing the Hetao Hong Kong Park.

The funding will be used to expedite Phase 1 development by engaging the market to speed up the disposal of remaining land parcels, provide key infrastructure, strengthen support for start-ups and establish a venture fund.

Chan described San Tin Technopole as an extension of the Loop area. Together with the Hetao Hong Kong Park, the two projects will support coordinated development across upstream research and development, midstream commercialization and downstream industrial production, forming a comprehensive industrial ecosystem.

While the Loop will focus on research and development, commercialization and pilot production, the San Tin Technopole will offer extensive land to accelerate the commercialization of R&D outcomes and provide space for prototyping, pilot production and large-scale manufacturing.

The government will establish a dedicated company this year to take forward the San Tin Technopole project and will seek LegCo approval for an initial capital injection of HK$10 billion. Chan said the project will also leverage market resources to accelerate progress.

In parallel, the government is exploring measures to encourage developers who own land in the Northern Metropolis to collaborate with technology and advanced manufacturing enterprises in submitting joint development proposals. Through tripartite cooperation between the government, developers and enterprises, land and corporate resources are expected to be directed toward priority industries.

Chan said greater participation from the business sector will help expedite the innovation and technology transformation of the economy and accelerate the development of the Northern Metropolis through coordinated efforts.