Hong Kong Budget 2024-2025
- Fiscal Consolidation Strategy: The Budget aims to address the fiscal deficit, with an expectation of a consolidated deficit of about $101.6 billion for 2023/24 and $48.1 billion for 2024/25, emphasizing the need for fiscal discipline to ensure long-term economic stability.
- Economic Development and Opportunities:
- The National 14th Five-Year Plan designates Hong Kong as an “eight centres,” focusing on expanding economic capacity, enhancing competitiveness, and nurturing new growth drivers, particularly through innovation and technology.
- Enhanced support for SMEs through extended guarantee schemes and the introduction of “E-commerce Easy,” alongside a digital transformation support program.
- Tax and Non-tax Policy Measures:
- Measures include ceasing the Special Stamp Duty, Buyer Stamp Duty, and New Residential Stamp Duty to support the property market recovery, implementing a “patent box” tax incentive, and accelerating green technology development.
- A focused effort on green finance, shipping, and aviation to underline Hong Kong’s commitment to sustainability.
- Economic Recovery Post-Pandemic:
- The Hong Kong economy has shown moderate growth, benefiting from the lifting of anti-epidemic measures and full border clearance, despite the challenging external environment and monetary policy tightening globally.
- Over $1 billion allocated to bolster tourism, including new initiatives for a vibrant Victoria Harbour, and a comprehensive plan to promote Hong Kong globally.
These initiatives underline Hong Kong’s strategic direction towards high-quality development, leveraging its unique position to attract global enterprises and talent while supporting local businesses and communities.
