The Hong Kong Special Administrative Region (HKSAR) chief executive will lead a cross-bureau and interdepartmental task force for Hong Kong to proactively align with the national 15th Five-Year Plan, and for the first time, to formulate Hong Kong's five-year plan, Paul Chan, financial secretary of the HKSAR government, said on Wednesday.

While delivering the latest budget on Wednesday, Chan said that the 15th Five-Year Plan has given explicit support to Hong Kong in better integrating into and serving the overall national development, consolidating and enhancing its status as an international financial, shipping and trade center, while developing into an international  innovation and technology (I&T) center and an international hub for high-caliber talent.

Chan said that Hong Kong can contribute to building a modern industrial system and accelerating high-level self-reliance and strength in science and technology in the country.

With strong basic research capabilities, Chan said, Hong Kong possesses a unique edge in AI, life and health technologies, fintech, new materials, and new energy. As an international financial center, Hong Kong will drive "Finance+," capitalizing on its financial sector to better serve the real economy and industries with a competitive edge, and pressing ahead toward the mutual empowerment of finance, innovation, and technology.

Chan said that Hong Kong can proactively participate in the country's high-level opening up. Under "One Country, Two Systems," Hong Kong enjoys unique institutional strengths. With efficient aviation, shipping, and logistics services, it serves as a "super connector" and "super value-adder" to help enterprises go global and attract external investment, fostering two-way trade and investment.

Hong Kong can bring together high-caliber talents from across the globe, Chan said. Hong Kong's world-class universities and internationalized environment are conducive to attracting top global talent across various sectors, particularly leading scientific researchers from around the world. Chan added that the HKSAR government will also keep nurturing local talent, which aligns with the country's integrated development of education, technology and talent.

Hong Kong targets citywide AI use

Hong Kong will promote industrial use of artificial intelligence (AI) so that all of its residents will ultimately adopt and be conversant with the technology, said Chan.

Chan said he will establish and chair the Committee on AI+ and Industry Development Strategy to formulate strategies and create favorable conditions for AI to empower the transformation and development of industries.

The committee will comprise experts, academics, enterprises, and industry park companies, with an initial focus on life and health technology and embodied AI, Chan said.

In respect of basic research and development (R&D), the InnoHK Research Cluster has so far funded 16 laboratories specializing in AI and robotics technologies that can be adopted by industries such as healthcare, logistics, smart manufacturing, and construction, said Chan.

He also noted that the 3-billion-Hong Kong-dollar (about $384 million) AI Subsidy Scheme launched by the HKSAR government has approved around 30 R&D applications in fields such as large language models, new materials, and biomedicine to enhance local AI research standards and application.

To promote AI+ development and the transformation of R&D outcomes, the Hong Kong Artificial Intelligence Research and Development Institute Company Limited will commence operations in the second half of this year, according to Chan, who added that it will also advise on matters such as the governance framework and regulatory regime for AI development.

The data facility cluster at Sandy Ridge, which can provide a gross floor area of 250,000 square meters, will boost Hong Kong's overall computing power. The tender result of the site will be announced shortly, said Chan.

Hong Kong will also promote AI training for all and improve public services with AI, he said.

(With input from Xinhua)