Financial Secretary Paul Chan Mo-po said on Sunday the key driver of Hong Kong’s economy and capital market is proactively sorting out tech companies, providing them with favorable incubation and financing conditions, as well as building a comprehensive ecosystem that integrates upstream, midstream and downstream industries.

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“Science and technology innovations are continuously giving rise to new business models, new forms of business and new industries, which not only bring new growth momentum to the real economy, but also bring new themes to the capital market,” Chan said in his weekly blog.

This month, the Hong Kong-Shenzhen Innovation and Technology Park welcomed its first batch of partners from some 60 companies and organizations, with their investment expected to top HK$1 billion ($127 million), paving the way for deeper cross-boundary technology collaboration

A case in point is last week’s stock market rally, which was led by the surge in prices of Chinese mainland technology shares.

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The city’s benchmark Hang Seng Index gained 8.8 percent in five days, marking its best weekly gain since 2012. The tech gauge rose more than 13 percent.

From artificial intelligence, big data, biomedical technology to new energy and materials, enterprises that can provide solutions to pain points and value-creating products or services through leading-edge core technologies and innovative business transformations can capitalize on the opportunities, achieve leapfrog business growth and generate substantial returns for investors, Chan said.

The number of start-ups in Hong Kong exceeded 4,200 last year, an increase of more than 30 percent over four years ago, with about one-quarter of the founders coming from outside the city, according to the finance chief. “In the past year, we have successfully attracted nearly 50 key start-ups to set up or expand their operations in Hong Kong.”

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This month, the Hong Kong-Shenzhen Innovation and Technology Park welcomed its first batch of partners from some 60 companies and organizations, with their investment expected to top HK$1 billion ($127 million), paving the way for deeper cross-boundary technology collaboration.

The 87-hectare park’s strategic importance lies in its location at the Lok Ma Chau Loop, which is northeast of Yuen Long, on the Hong Kong-Shenzhen border and the banks of the Shenzhen River.  

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Apart from those from Hong Kong and the mainland, about a quarter of the companies are from overseas, including the United States, France, Japan, the United Kingdom, Australia, Thailand and Singapore, according to Hong Kong officials. Some 24 of the companies are either new to or expanding their business in the Hong Kong Special Administrative Region.