InvestHK director general Lau Hai-suen says Hong Kong should leverage its “safe haven for investment” status to attract foreign capital amid Middle East conflict, with firms using Dubai as a hub shifting to the city to diversify risk. The call comes as finance chief Paul Chan Mo-po continues a visit to Beijing.
InvestHK director general Lau Hai-suen has urged Hong Kong to seize the opportunity as a “safe haven for investment” to draw foreign capital based in Dubai, even as the UAE government continues to offer tax incentives, preferential treatment and financial support to attract investors. She noted that more companies using Dubai as a hub have shifted to Hong Kong – and a little to Singapore – to diversify risk amid the ongoing Middle East conflict. “What we have seen is that not only Middle Eastern money, but companies and countries that have traditionally used Dubai as a hub, have now shifted mostly to Hong Kong – maybe a little bit to Singapore – because they want to diversify their risk,” Lau said. The call came as finance chief Paul Chan Mo-po on Friday continued his six-day visit to Beijing, where he met Li Yunze, minister of the National Financial Regulatory Administration, to discuss how Hong Kong could support the nation’s efforts to build a financial powerhouse. China and other Asian countries with strong economic growth are top destinations for companies seeking expansion, while sovereign funds had shown interest in diverting investment to the city and the East even before the US-Israel war on Iran began last month.