Fiscal incentives for business growth
Building Hong Kong’s Innovation and Technology Future
For more than a decade, Hong Kong has been actively developing its startup ecosystem through the Hong Kong Science and Technology Park (HKSTP) and Cyberport, with a vision to strengthen its position in global innovation and technology rankings.
In the coming years, major new technology hubs will come into operation:
Hong Kong–Shenzhen Innovation and Technology Park (HSITP) at the Lok Ma Chau Loop
San Tin Technopole, located in the core of the Northern Metropolis, earmarked for high-tech enterprises
Additionally, the three InnoParks have been strategically refurbished for specialized industries:
Tseung Kwan O InnoPark – Data technology / Advanced manufacturing
Yuen Long InnoPark – Microelectronics
Tai Po InnoPark – Pharmaceutical innofacturing, precision manufacturing, medical accessory supplies, and health products
With these initiatives, Hong Kong aims to attract local and international entrepreneurs to bring innovative projects and investments into the city.
Government Support for Research & Development
To stimulate R&D growth, the Government of the Hong Kong Special Administrative Region (HKSAR) offers 200%–300% tax deductions on qualified research and development expenses.
Recognized institutions such as the Hong Kong Applied Science and Technology Research Institute (ASTRI) and the Nano and Advanced Materials Institute Limited (NAMI) actively collaborate with enterprises of all sizes in technology and life sciences research.
2024 Budget Allocations for Research and Innovation
HK$6 billion – Establish thematic research centers on life and health technology
HK$3 billion – Invest in frontier technologies (AI and quantum technology)
HK$260 million – Support Cyberport’s small living startups
HK$400 million – Corporate Venture Fund, and HK$110 million – Co-acceleration Program (HKSTP)
HK$75 million – Research and development for the Building Testing and Research Institute and Modular Integrated Construction supply chain
Microelectronics Research & Development Institute – Strengthen collaboration between universities, research centers, and industries
Feasibility study – Establishing a second Advanced Manufacturing Centre
Promoting Digital Economy, Virtual Assets, and Green Technology
The HKSAR Government is also driving digital transformation, virtual asset development, and green technology initiatives through several funding programs:
HK$500 million – Digital Transformation Support Pilot Program for SMEs
HK$200 million – Enhancement of the iAM Smart platform
Tax deduction – Spectrum utilization fees for telecom operators
Feasibility study – Artificial Intelligence Supercomputing Centre
HK$50 million – Web3 ecosystem development
Green Technology and Finance Development Committee – To formulate action plans for green technology, finance, and certification standards
Existing funding schemes – Continued support for enterprise financing and marketing
All previously introduced tax incentives and funding schemes remain in place, reflecting the government’s long-term commitment to innovation and technology.
Positive results are expected in the coming years.
Useful Links
🔗 Hong Kong Science and Technology Park (HKSTP)
🔗 Cyberport
🔗 iAM Smart
🔗 Hong Kong–Shenzhen Innovation and Technology Park (HSITP)
🔗 San Tin Technopole Study Overview
Talk to an Expert
Belinda will guide you on how to enter Hong Kong, China for business or investment purposes.
She will be delighted to offer a free 30-minute Q&A session to answer your specific questions.
