This year, Hong Kong’s annual state-of-the-city moment arrived early. Chief Executive John Lee Ka-chiu delivered his Policy Address on Wednesday — earlier than the usual October date — to accommodate the Legislative Council elections scheduled for December.

The speech was sweeping in scope, but it is worth looking past the laundry list of initiatives to see the strategy behind them. This year’s Policy Address is not about quick, headline-grabbing measures. It is a blueprint for repositioning Hong Kong as a capital hub, a logistics powerhouse, and a magnet for talent — all while reminding residents that the ultimate point of economic growth is better housing, healthcare, and livelihoods.

Let’s start with the markets. Lee unveiled a “fast lane” for Chinese mainland technology firms to raise capital in Hong Kong, reinforcing the city’s role as a financing hub for the country’s tech ambitions. The pledge to explore shortening the stock settlement cycle to “T+1” is significant: Faster settlement means lower risk and a more competitive marketplace, aligning Hong Kong with the best practices of New York and Shanghai. There was also a nudge to US-listed mainland companies that their “homecoming” listings should find a natural berth in Hong Kong rather than anywhere else.

But the bigger picture here is currency. Pushing the renminbi trading counter into the Stock Connect is not merely a technical adjustment — it is a statement about Hong Kong’s future as the premier offshore renminbi center. Add to that the talk of cross-border RMB repurchase agreements, expanded derivatives, and a plan to use offshore Chinese government bonds as collateral, and you can see where this is heading: Hong Kong wants to be the global balance sheet for China’s rise.

This financial narrative is matched by a physical one. Logistics and trade figured prominently, with promises to expand multimodal routes that carry goods from inland cities like Chongqing and Chengdu to the world, funneled through Hong Kong’s ports. There is even a commitment to bring in a European aviation services giant to set up aircraft dismantling and parts-trading operations — a niche, but high-value, industry that could create an entire new cluster of jobs.

This year’s Policy Address was not written to play small. It is a statement that Hong Kong is determined to reclaim its relevance, not just as a financial center but as a full-spectrum economy with the confidence to shape its future. For a city often accused of being reactive, that is a welcome shift

Then there is the boldest bet of all — the Northern Metropolis. The plan is to supercharge the development of Hong Kong’s northern territories into an economic engine focused on innovation, advanced manufacturing, and cross-border synergy with Shenzhen. The new Committee on Development of the Northern Metropolis, chaired personally by Lee, will coordinate the entire effort — from zoning and university town planning to infrastructure and legal streamlining. For those who have been waiting for Hong Kong to think big about land use, this is it.

Of course, no Policy Address would be complete without addressing the “software” of the economy — people. The New Capital Investment Entrant Scheme lowers the price of entry for high-net-worth individuals by allowing more of their investment in nonresidential property to count toward the HK$30 million ($3.86 million) threshold. More family offices, more asset managers, more regional headquarters — that is the subtext. The Hong Kong Monetary Authority is even nudging mainland banks to set up regional hubs in Hong Kong to reach into Southeast Asia and the Middle East, riding the wave of the mainland’s “going out” investment.

Lee also tackled what many see as the next great industrial wave — artificial intelligence (AI). He promised not just to embrace AI but to integrate it into government operations via a dedicated “AI Efficacy Enhancement Team”. Crucially, he paired this with a HK$3 billion research support program to attract top AI scholars to local universities — a necessary move if Hong Kong wants to compete with Singapore, Seoul, and Shenzhen in the global tech talent sweepstakes.

And yet, for all the financial and technological fireworks, Lee was careful to anchor his blueprint in the bread-and-butter issues that voters feel most acutely. The housing supply will continue to be expanded, including the controversial but pragmatic “light public housing” plan to shorten waiting times. Healthcare reforms and elderly-care initiatives were given their own chapter. Eleven targeted measures were announced to support the grassroots economy. There is even a new “Working Group on Ageing Society Strategies” to prepare for the demographic tidal wave ahead.

If there is a single through line in this Policy Address, it is the argument that economic growth and quality of life are not trade-offs but partners. Growth generates jobs, jobs generate income, income funds public services — and better services, in turn — boost social confidence and market demand. It is a virtuous cycle, provided the execution does not get bogged down in bureaucracy.

Indeed, Lee’s promise to institutionalize a “Heads of Department Accountability System” and revamp civil-service appraisal mechanisms is a quiet but potentially transformative reform. For years, Hong Kong has had good policy ideas that suffered death by committee or delay by red tape. The commitment to cut administrative walls and use market-based models even in public recreation and culture services is a recognition that efficiency matters.

Skeptics will point out that bold visions have been announced before, only to fizzle out when confronted with the city’s famously complicated land procedures, local headwinds, or global headwinds. That is fair. The test will be whether this government can match its rhetoric with timely, tangible results — shorter housing queues, real job creation in the Northern Metropolis, and capital markets that actually feel more vibrant.

But one thing is certain: This year’s Policy Address was not written to play small. It is a statement that Hong Kong is determined to reclaim its relevance, not just as a financial center but as a full-spectrum economy with the confidence to shape its future. For a city often accused of being reactive, that is a welcome shift.

The author is chairman of the Asia MarTech Society and sits on the advisory boards of several professional organizations, including two universities.

The views do not necessarily reflect those of China Daily.