Hong Kong financial summit strengthens city's banking hub status

Editor's note: Matteo Giovannini, a special commentator on current affairs for CGTN, is a financial professional at the Industrial and Commercial Bank of China and a member of the Global Young Leaders Dialogue. The article reflects the author's views, and not necessarily those of Beijing Review.

At a time of growing geopolitical tensions among major economic powers, heavyweights from the most famous and influential global investment banks and asset management firms have convened in Asia's leading financial center to discuss about their market positioning and future strategies in the world's second-largest economy, namely China.

From November 6 to 8, the second edition of the Global Financial Leaders' Investment Summit was hosted by the Hong Kong Monetary Authority with a welcome dinner at the Palace Museum, followed by a two-day conference at the Four Seasons Hotel.

The theme of this year's event, "Living with Complexity," represents an important step forward from last year's theme, "Navigating beyond Uncertainty," and projects the message that the world is now ready to move on after experiencing one of the most hazardous diseases witnessed in human history.

The presence of around 300 international leaders from 160 financial institutions, with more than 90 institutions represented by their group chairmen or CEOs, and a total number of participants that is 20 percent more than the first summit held last November, when 250 global bankers attended the biggest financial event in the city after the pandemic, is a clear indication of the level of complexity that the world is experiencing and of the growing sense of urgency.

If the world's top financial minds have decided to fly to Hong Kong Special Administrative Region to discuss opportunities to tackle economic and political issues in a post-COVID-19 world, that is because they are aware that the current uncertainty in the economic landscape is here to stay for the next few years and because complexities can only be overcome by rowing all together in the same direction.

Probably the most important aspect that can be inferred from the global bankers' summit is that it has represented a golden opportunity for Hong Kong to regain a centrality in the strategic map of global financial titans by combining the city's decades-long role as a gateway to China and the Asia-Pacific.

The recent Hong Kong Fintech Week (October 30 - November 5), which is Asia's flagship financial technology conference, demonstrates that the city is unquestionably at the forefront in the integration of financial and technological innovations, promoting green and sustainable finance to tackle climate-related issues.

Stability is a key element that every CEO is looking for when deciding where to allocate financial resources to enter a new market or expand an existing business.

The message of confidence and openness launched at the summit by the Hong Kong Monetary Authority, which this year celebrates the 30th anniversary of its establishment, is important given the global inflation, unpredictable interest rates, geopolitical turbulence, and technological upheaval.

In addition, the participation of mainland Chinese financial regulators at the summit has had significance not only in informing global financial actors of the recent changes in domestic governance with the launch of the National Administration of Financial Regulation in May, aimed at achieving a higher degree of risk management but also to re-emphasize China's commitment to sharing the enormous market of both the Chinese mainland and Hong Kong with the rest of the world. These messages of fresh and positive energy are healing music for the investment community's ears that are desperately trying to navigate increasingly fragmented markets. In this context, the pledge of a joint effort towards a boost in the level of connectivity in global markets, as a driver of unlimited opportunities for growth for all participants, is most likely the key message from this year's summit.

The public reaffirmation of Hong Kong's global financial positioning, the confirmation of a stronger-than-ever connectivity with the mainland, and the introduction of policies aimed at attracting and retaining the best talents in the market are all elements that could have a knock-on effect on the city, sowing the seeds to prosper even more in the future.

In this sense, the 2023 Global Financial Leaders' Investment Summit has represented a timely initiative that is going to energize not only Hong Kong but the entire world.

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