Group 1 - The Hong Kong Special Administrative Region (HKSAR) government has issued approximately HKD 240 billion worth of green bonds to finance local green projects and provide benchmarks for potential issuers [1][3] - The funds raised through green bonds have been fully allocated or reserved for various green projects, including the construction and repair of the Cheung Sha Wan sewage main pumping station, the expansion plan for North District Hospital, and a high-performance computer system for the Hong Kong Observatory [3] - The Secretary for Financial Services and the Treasury, Christopher Hui, stated the commitment to strengthen Hong Kong's position as a regional and international center for green and sustainable finance, leveraging its advantages in the bond market, green finance, and fintech to create a conducive regulatory environment [3]

Core Insights - The total assets of the Exchange Fund reached HKD 42,971 billion as of June 30, 2025, an increase of HKD 1,377 billion from the end of May 2025, with HKD assets rising by HKD 885 billion and foreign currency assets increasing by HKD 492 billion [1] Group 1: Exchange Fund Assets - The increase in HKD assets was primarily due to the month-end balance of Exchange Fund notes and bonds that were subscribed but not settled [1] - The rise in foreign currency assets was mainly attributed to interest income, market value revaluation of investments, and proceeds from the issuance of government green bonds, although this increase was partially offset by the sale of US dollars under the Currency Board system [1] Group 2: Currency Issuance Accounts - As of June 30, 2025, the monetary base was HKD 21,202 billion, a decrease of HKD 47 billion or 0.2% from the end of May 2025, primarily due to the purchase of HKD under the Currency Board system [1] - The decrease in the monetary base was partially offset by an increase in the total amount of liability certificates and the amortization of discounts on issued Exchange Fund notes and bonds [1] Group 3: Supporting Assets - The total amount of supporting assets increased by HKD 86 billion to HKD 23,648 billion, representing a growth of 0.4%, driven by interest income, market value revaluation of investments, and the issuance of liability certificates [1] - The supporting ratio rose from 110.88% at the end of May 2025 to 111.54% at the end of June 2025 [1]

Core Viewpoint - The Hong Kong government is actively working to expand new economic growth points while consolidating traditional industries, aiming to enhance Hong Kong's competitiveness and international influence as a "super connector" and "super value creator" [1][2]. Group 1: International Cooperation and Market Expansion - The government emphasizes the importance of deepening international cooperation, leveraging Hong Kong's unique position to connect mainland China with global markets, and expanding into emerging markets in the Global South [1][3]. - Efforts include strengthening regional cooperation with ASEAN, the Middle East, and countries along the Belt and Road Initiative, with specific agreements already signed or in negotiation with Bahrain, Qatar, and others [2][3]. Group 2: High-Value Supply Chain Development - A high-value supply chain service mechanism has been established to attract mainland enterprises to set up international or regional headquarters in Hong Kong, facilitating their global supply chain management [3][4]. Group 3: Industry-Specific Initiatives - The government is focusing on various industries, including: - **Innovation and Technology**: Promoting sectors like health tech, AI, and advanced manufacturing through targeted measures [4][5]. - **Space Economy**: Supporting research and development in space-related technologies and simplifying licensing for low Earth orbit satellite operations [4][5]. - **Low-Altitude Economy**: Developing a smart low-altitude economic ecosystem and expanding regulations for drone technology [5][6]. - **Halal Industry**: Enhancing Hong Kong's competitiveness in the halal market through legislative changes and promotional activities [6][7]. - **Professional Certification Services**: Expanding certification services into new fields such as green finance and ESG [6][7]. - **Financial Innovation**: Implementing a licensing system for digital asset trading platforms and stablecoins to foster sustainable growth in the digital asset sector [6][7]. - **Green Industry**: Supporting local green technology development and promoting Hong Kong as a center for sustainable finance [7][8]. - **Cultural and Creative Industries**: Developing a creative ecosystem and supporting industry-specific projects to enhance Hong Kong's status as a creative hub [7][8]. - **Sports Industry**: Noting a steady growth in the sports sector, with a reported increase in value added from sports activities [8][9]. Conclusion - The government is committed to collaborating across various policy areas to create a conducive environment for economic development, welcoming suggestions from legislators to enhance these initiatives [9].