The rapid development of Artificial Intelligence in China is lifting Hong Kong's economy and financial markets, said Financial Secretary Paul Chan Mo-po.
This came as the city logged economic growth that exceeded expectations in the first half of this year, with Hong Kong's exports recording high double-digit growth for multiple consecutive quarters.
In his weekly blog on Sunday, the financial chief attributed the uptick to growing demand for advanced electronics and AI-related products.
Additionally, AI-related IPOs have raised nearly HK$100 billion, accounting for about 55 percent of total IPO proceeds between last December and this May, Chan reported. He added that Hang Seng Indexes Company has also included several AI firms in multiple indices to reflect the sector's growing economic weight.
To empower Hong Kong with the evolving technology, Chan indicated that the AI Efficacy Enhancement Team has initiated 30 projects across 13 departments, covering license approvals, facility bookings, environmental hygiene, and complaint handling.
Among them is the “Easy Licence Application” system, set to be launched by the Transport Department, which will use AI to automatically recognize, cross-check, and verify application documents, slashing renewal processing times from 10 working days to just one.
The city will also see adaptive traffic signals starting in the first quarter of next year to lower waiting times for pedestrians, Chan added.
Highlighting the growing public awareness of the need to keep up with evolving technology, he cited a multinational tech firm study has founded that nearly 70 percent of Hong Kong respondents are AI-proficient. Notably, 20 percent of respondents described themselves as "power users" who automate daily tasks via AI agents.
According to the estimation, Hong Kong could unlock up to HK$65 billion in economic benefits if small and medium enterprises (SMEs) match large firms' AI adoption rates by 2035.
In a bid to enhance public adoption of AI technology, Chan stated that over 200 training events targeting 50,000 people will be held over two years under the HK$50 million drive.
Meanwhile, the Employees Retraining Board(ERB) will also launch AI courses in November in partnership with major tech firms.
Acknowledging the challenges to the job market with AI technology, Chan assured the government is accelerating preparation for young people, as well as support for the city’s SMEs, to move forward with the technological shift.
