China’s growth trajectory, the impact of global economic conditions, geopolitical tensions and ambiguity on the energy transition are all risks. But businesses can prepare by boosting in-house intelligence and diversity – both in recruitment and operations.
From electricity to public transport and logistics, more inter-regional cooperation and investment is needed, as well as innovation. Hong Kong can both serve as a conduit for mainland Chinese investment into Southeast Asia and provide sustainability finance expertise.
Hong Kong, Singapore, South Korea and Taiwan have managed to hold their own against developed economies in other regions for decades. However, amid geopolitical fragmentation, game-changing technological advancements and social divisions, they need to adapt quickly.
Hong Kong has long been a service-based economy reliant on finance, tourism, trade logistics and professional services. But as the Chinese economy shifts towards domestic consumption, Hong Kong must change too, to maintain healthy economic and job growth.
Biotech is especially important given the ageing population and economic ambitions of Hong Kong – and China as a whole. For the world, biotech protectionism will lead to more expensive treatments and greater health insecurity.
A decade ago, Asia’s millennials were optimistic the region would set aside conflicts and become more united to meet global challenges such as climate change. Today’s Generation Z, who grew up amid rising geopolitical tensions and major economic disruptions, are no longer so hopeful.
Much like carbon emissions, companies will soon be expected to monitor their impact on biodiversity. Measures to promote and preserve biodiversity will need to go beyond greenwashing practices like pledges to plant trees.
As Asian economies face recession worries, many are putting climate action on the back burner – but climate resilience goes hand in hand with economic stability. Setting ambitious energy and sustainability targets supports green growth.
The steady rise of AI technology has left governments, industries and institutions scrambling to catch up and establish rules of the road. As a knowledge-based economy, Hong Kong can lead the way in building a regulatory framework that limits the harmful impact of AI and maximises its benefits.
Finance can be unleashed as a force for good, to deliver social impact and bring economic windfalls for ordinary citizens, from youth advancement, financial literacy, and promotion of the arts and technology to climate change efforts.
