Hong Kong boosts AI investment to outpace Singapore

Hong Kong is increasing its investment in artificial intelligence (AI) and technology to strengthen its position in the region. Financial Secretary Paul Chan Mo-po announced that the city is targeting innovative companies to enhance its competitiveness against places like Singapore. At the HSBC Global Investment Summit, Chan highlighted the importance of AI for the future. He noted that AI could significantly influence business competitiveness and even geopolitics. To support this, the Hong Kong Investment Corporation (HKIC) has invested in nearly 100 startups focused on AI and pharmaceutical research. In the upcoming budget for the 2025-2026 financial year, the Hong Kong government plans to allocate HK$1 billion (about US$128 million) to create the Hong Kong AI Research and Development Institute. Additional technology initiatives will be funded with billions of dollars. Chan emphasized that Hong Kong has a unique advantage under the “one country, two systems” framework. This allows the city to serve as a "superconnector" between investors and the large market on the mainland. His remarks illustrate the government's dedication to promoting AI technology and helping startups develop new applications.