During his address at the Belt and Road Summit's thematic luncheon on September 9, Hong Kong's Financial Secretary, Chan Mo-po, highlighted the robust performance of the ASEAN economy, which is increasingly becoming a vital engine for global growth. He noted that the region's role is evolving from a traditional production base into a significant partner for technological advancement and industrial upgrading.
Chan pointed out that Hong Kong is well-positioned to support ASEAN in seizing these emerging opportunities through three key areas: financial services, platform development, and talent cultivation. Citing data from the International Monetary Fund, he mentioned that ASEAN's economy grew by 4.9% last year and is projected to expand by 4.5% this year, both figures exceeding the global average by more than one percentage point, indicating a profound structural shift in the region.
The bilateral trade volume between China and ASEAN surpassed $1 trillion last year, with ASEAN maintaining its status as China's largest trading partner for six consecutive years. Chan emphasized that the composition of this trade is changing, with intermediate goods, components, and other production inputs now accounting for approximately two-thirds of the total. The fastest-growing categories include electronic components, new energy equipment, and smart devices.
Chan outlined three dividends arising from the region's growth prospects. The demographic dividend is evident as ASEAN's combined population exceeds 680 million, with nearly half under the age of 30. The market dividend stems from the expanding middle class, which is expected to constitute about two-thirds of the region's population by 2030. The technology dividend involves extending regional cooperation beyond traditional trade to include joint research and development and knowledge sharing.
To translate these advantages into sustainable growth, Chan stressed the need for patient capital, well-regulated testing environments that are open to innovation, and a robust talent pool. In the financial sector, Hong Kong can leverage its status as an international financial center to connect global investors with innovative enterprises in the region, offering diverse financing channels such as listings, venture capital, private equity funds, and family offices. This would provide long-term funding for emerging industries, including artificial intelligence, advanced manufacturing, and new energy, while also assisting companies in improving governance and expanding into international markets.
On the platform front, the Guangdong-Hong Kong-Macao Greater Bay Area combines scientific research, advanced manufacturing, supply chains, and a market of approximately 88 million people, capable of supporting enterprises from research and development through testing, validation, and commercialization. The Northern Metropolis will enhance collaboration between Hong Kong and cities like Shenzhen, facilitating the flow of technology, talent, and capital, thereby offering ASEAN businesses a platform to access the Greater Bay Area and the broader mainland Chinese market.
Regarding talent, Hong Kong's world-class universities, international business environment, and professional services can attract researchers and entrepreneurs. Chan also mentioned that Hong Kong can drive cooperation in artificial intelligence, fintech, smart logistics, and cross-border payments, promoting the alignment of technical standards, knowledge exchange, and secure, orderly data flow. Hong Kong is prepared to act as a bridge connecting innovation, capital, and markets.