Hong Kong Financial Secretary Paul Chan stated during a Legislative Council Finance Committee meeting that there is currently strong demand from companies waiting to list in Hong Kong. The Hong Kong Exchange (HKEX) and the Securities and Futures Commission are working overtime to process applications as quickly as possible. Chan emphasized the need to capitalize on this trend and facilitate listings for as many companies as possible. He noted that Hong Kong ranked first in the global IPO market last year and expressed hope for a new record this year, while also stressing the importance of maintaining strict standards to ensure public confidence in listed companies. When asked about the bad debt ratio of the SME Financing Guarantee Scheme, Chan pointed out that due to the pandemic, trade tensions, and economic restructuring, certain industries are under greater pressure, leading to an increase in the bad debt ratio. However, he mentioned that for loans with 80% to 90% guarantees, the bad debt ratio is generally not very high. Additionally, Chan indicated that the Hong Kong government is currently focusing its efforts and resources on promoting the development of the Northern Metropolis. Regarding the proposed artificial island near Kau Yi Chau, he noted that alternative approaches to transportation connections are possible, and the authorities will consult with the Legislative Council and the public once related studies are more mature. Some legislators raised concerns about whether the government could contribute to the Mandatory Provident Fund for low-income individuals if public finances continue to improve. Chan responded that such a proposal involves long-term commitments and requires careful consideration alongside other social welfare benefits.
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