As China embarks on formulating its pivotal 15th Five-Year Plan (2026-30) (15th-FYP), the nation stands at a critical juncture, accelerating its high-quality development and pursuing the great rejuvenation of the Chinese nation. For Hong Kong, this next phase presents not merely opportunities but an imperative for strategic realignment and deeper integration. Drawing on my perspective as a member of the Chinese People’s Political Consultative Conference National Committee, an adviser to the Ministry of Finance, vice-president of the Hong Kong Institute of Certified Public Accountants, and a seasoned investor in emerging technologies, I see the 15th-FYP as the definitive blueprint for Hong Kong to solidify its unique advantages, catalyze industrial upgrading, expand its tax base, and amplify its role as the indispensable bridge for Chinese mainland enterprises venturing globally — all while strengthening the Guangdong-Hong Kong-Macao Greater Bay Area and contributing significantly to national objectives.

Catalyzing HK’s industrial upgrade

Hong Kong’s traditional prowess in finance, trade, and logistics remains foundational. However, the 15th-FYP’s emphasis on new quality productive forces — driven by technological innovation and high-end manufacturing — demands that Hong Kong proactively diversify and upgrade its economic structure. Our strengths in intellectual property protection, common law, free flow of capital and information, and world-class universities position us uniquely to become a global hub for emerging industries crucial to the 15th-FYP:

Artificial intelligence and digital assets: Hong Kong can leverage its robust financial infrastructure and regulatory agility to become a leading center for AI-driven fintech, responsible digital asset development, and Web3 innovation. Clear, forward-looking regulations are key to attracting global talent and capital in these fields. Establishing dedicated clusters, like expanding Cyberport’s mandate, can foster critical mass.

Biotechnology and health tech: With strong research capabilities, a sophisticated healthcare system, and IP safeguards, Hong Kong is primed to be a Greater Bay Area and Asian leader in biotech research and development (R&D), clinical trials, and health tech commercialization. Deepening collaboration with Shenzhen’s biomedical hubs and leveraging the new Northern Metropolis for R&D facilities is essential.

Green finance and tech: Aligning with the national “dual carbon” goals, Hong Kong must scale its green finance leadership. This involves not just facilitating green bonds, but actively investing in and incubating climate tech, sustainable infrastructure solutions, and carbon market mechanisms, attracting environmental, social and governance-focused global capital.

This industrial pivot is vital for sustainable growth, creating high-value jobs, and moving beyond overreliance on traditional sectors vulnerable to global volatility.

Sustainability through diversification

A broader, more-resilient economy naturally expands the tax base. However, proactive measures aligned with the 15th-FYP can further enhance fiscal sustainability:

Attracting headquarters and high-value activities: Targeted policies to attract regional headquarters, treasury centers, R&D hubs, and high-growth tech firms (especially in AI, biotech, and green tech) will broaden corporate tax revenues beyond traditional finance and property. Success in the industrial upgrade outlined above is fundamental.

Leveraging family offices and wealth management: Hong Kong’s initiatives to attract family offices managing global wealth must be accelerated. This brings not only management fees but also stimulates investment in local ventures and philanthropy, creating a virtuous cycle.

Modernizing tax policy: While maintaining our simple and low-tax regime, exploring modern, competitive structures (like refined concessions for R&D expenditures or specific green/social investments) can stimulate desired activities without compromising our fundamental attractiveness. Stability and predictability remain paramount.

A diversified economy fueled by innovation is the most sustainable path to a robust tax base, funding essential public services and future investments.

By aligning its development trajectory tightly with the national vision, focusing on industrial upgrading, sustainable revenue streams, and amplifying its superconnector role, Hong Kong can secure its own vibrant future while making an unparalleled contribution to the realization of the Chinese Dream

HK as a springboard for mainland enterprises

The 15th-FYP will undoubtedly intensify the push for mainland enterprises to expand internationally, enhancing brand presence, securing resources, and integrating into global value chains. Hong Kong’s role here is irreplaceable:

Professional services hub: Our world-class legal, accounting, consulting, risk management, and fundraising expertise is critical for navigating complex cross-border mergers and acquisitions, listings (including international IPOs alongside GEM reforms), compliance, and dispute resolution. We are the trusted advisers for going global.

Risk mitigation and market access: Hong Kong provides a stable, familiar platform for mainland firms to test international waters, manage currency and geopolitical risks, and access global capital markets and partnership networks before venturing further afield. The city’s free trade agreements and networks are invaluable.

RMB internationalization: As the world’s largest offshore RMB hub, Hong Kong is central to facilitating cross-border trade and investment settlements in RMB, reducing forex risks for mainland companies and supporting the currency’s global role — a key strategic objective.

Investor gateway: My experience in private equity underscores Hong Kong’s role as the premier channel for international investors seeking exposure to the mainland’s growth story and for mainland capital seeking global opportunities. Deepening this two-way flow aligns perfectly with the 15th-FYP’s objectives.

Integrating for GBA and national synergy

Hong Kong’s success within the 15th-FYP framework is inextricably linked to deeper Greater Bay Area integration and serving national needs:

Hong Kong must act as the Greater Bay Area’s international R&D front-end and fundraising center, while Shenzhen, Guangzhou, and others provide scale-up manufacturing and vast market access. Breaking down residual barriers to talent, capital, and data flow across the border is crucial. Cross-border recognition of professional qualifications is vital.

We must avoid unnecessary duplication and instead focus on complementarity — Hong Kong’s global connectivity, IP framework, and professional services meshing with the mainland’s industrial capacity, vast talent pool, and cutting-edge research infrastructure. The Northern Metropolis development is a tangible opportunity to create this synergy on the ground.

By successfully upgrading its industries, expanding its economic base, and facilitating mainland enterprises’ global ambitions, Hong Kong directly contributes to the nation’s goals of technological self-reliance, high-quality development, and enhanced global competitiveness. Hong Kong’s stability and prosperity under “one country, two systems” remain a core national asset.

A call for proactive alignment

The 15th-FYP is not a distant policy document; it is the road map for the country’s next transformative leap. For Hong Kong, embracing this plan with strategic urgency is not optional — it is essential for its future relevance, prosperity, and continued contribution to the nation.

This requires: bold policy innovation in regulation (especially for emerging tech), talent attraction (visas, livability), and fostering R&D commercialization; deepening integration — proactively removing friction points within the Greater Bay Area, enhancing connectivity (physical and digital), and building shared platforms; investing in the future — sustained public and private investment in innovation infrastructure (labs, testing facilities), STEM education, and reskilling its workforce; telling its story well — clearly articulating Hong Kong’s evolving value proposition — as an international financial center and a burgeoning hub for tech, professional services, and global connectivity — to the world and to the mainland.

Hong Kong possesses the unique ingredients: legal system, global networks, financial depth, and entrepreneurial spirit. The 15th-FYP provides the strategic context. By aligning its development trajectory tightly with the national vision, focusing on industrial upgrading, sustainable revenue streams, and amplifying its superconnector role, Hong Kong can secure its own vibrant future while making an unparalleled contribution to the realization of the Chinese Dream.

The author is a National Committee member of the Chinese People’s Political Consultative Conference, an adviser to the Ministry of Finance, and a fund manager.

The views do not necessarily reflect those of China Daily.