The 2025 National Two Sessions have concluded, setting China’s development priorities. At Fireside Chat #12, hosted by the AALCO Hong Kong Regional Arbitration Centre, Dr. Hon Starry Lee Wai-king, GBS, JP, a member of the Standing Committee of the National People’s Congress (NPCSC), discussed key topics and their impact on Hong Kong. The event covered innovation, economic growth, Hong Kong’s integration into national strategies, and international cooperation.
This year’s Two Sessions emphasized innovation, with “reform” and “innovation” appearing 40 times in the Government Work Report. China aims to enhance technological advancement and industrial upgrading. Dr. Lee highlighted this as an opportunity for Hong Kong, particularly in finance, technology, and venture capital, where it can serve as a “super connector.”
China’s GDP grew by 5% in 2024, adding ¥6.7 trillion—more than some countries’ annual GDP. The 2025 target remains at 5%, ensuring economic stability. Dr. Lee noted that Hong Kong businesses could benefit from this steady growth.
The Hong Kong delegation submitted 229 policy proposals, with two gaining significant support:
– The “Cross-Border Housing Fund” proposes easing foreign exchange controls to allow Mainland and Hong Kong residents to purchase properties across the border via direct bank transfers. This enhances financial connectivity in the Greater Bay Area.
– Developing Hong Kong into a global carbon trading center aligns with China’s carbon neutrality goals and strengthens its financial hub status.
China is also launching a ¥1 trillion National Venture Capital Fund focused on AI, quantum technology, and hydrogen energy. Dr. Lee said this presents opportunities for Hong Kong’s innovation sector, particularly in AI and fintech, where the city’s legal and financial infrastructure can attract global investment.
The NPCSC has included AI legislation in its legislative agenda, ensuring responsible development. Dr. Lee stressed the need to balance innovation with regulations on data security, privacy, and fair competition.
Regarding Hong Kong’s role under “One Country, Two Systems,” Dr. Lee reaffirmed that Hong Kong will not become “just another Mainland city.” Instead, it will continue leveraging its financial, trade, and legal advantages. The Government Work Report calls for Hong Kong to “deepen international exchanges and cooperation,” strengthening its global position. The AALCO Hong Kong Regional Arbitration Centre can enhance cross-border legal collaboration.
On geopolitical tensions, such as U.S. President Donald Trump’s tariff measures, Dr. Lee emphasized China’s commitment to multilateralism and fair trade to navigate global uncertainties.
Looking ahead, China’s 15th Five-Year Plan will focus on new productive forces and technological innovation. Dr. Lee highlighted three areas where Hong Kong can integrate into national strategies:
- Technology and Innovation – Advancing AI, fintech, and emerging industries.
- Financial Connectivity – Strengthening Hong Kong’s role as a global financial center.
- Green Economy – Expanding carbon trading and sustainable finance.
Dr. Lee encouraged young people to seize new opportunities, leveraging their expertise in technology, finance, and professional services to contribute to Hong Kong’s and China’s development.
Fireside Chat #12 provided valuable insights, helping participants understand China’s direction and Hong Kong’s role. As China deepens reforms and global engagement, Hong Kong will maintain its advantages and expand its influence.
