The Hong Kong Special Administrative Region government is confident of achieving its forecast full-year gross domestic product growth of 3.5 percent to 4.5 percent, partly buoyed by robust global demand for artificial intelligence, Financial Secretary Paul Chan Mo-po said on Sunday.

Writing in his weekly blog, Chan said technological innovation, particularly advances in AI, is driving growth in Hong Kong’s real economy.

Fueled by demand for AI and related electronic products, the city’s merchandise exports surged last month, with total export value rising 53 percent year-on-year to nearly HK$668 billion ($85.64 billion), according to official data. For the first eight months of this year, combined exports rose 42.5 percent from a year earlier.

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Chan said the country’s continued pursuit of high-standard opening-up and adherence to a mutual benefit and win-win cooperation philosophy have created a more favorable environment for the SAR to expand its development prospects.

“The country possesses a comprehensive, well-structured industrial system and a massive consumer market, providing Hong Kong with a broader platform to leverage its strengths, integrate into and serve the nation’s overall development, and achieve its own sustained growth,” he added.

As major economies around the world begin discussions on issues like AI governance, data, compliance and risk management, Hong Kong can play a unique role in offering both “rules” and “trust”, Chan said.

Backed by its common law system, pool of bilingual and trilingual talents, internationally aligned standards and professional services, as well as financial support, Hong Kong is well placed to provide trusted solutions in various fields, ranging from model training and cross-border data flows to privacy protection and dispute resolution, he said.

READ MORE: Chan: HK expects strongest quarterly GDP growth in nearly 5 years

The finance chief also emphasized that the rise of AI requires not only talent with expertise in the technology, but also people willing to explore AI applications, as well as professionals in fields that “even the most advanced AI cannot replace”.

AI literacy and skills upgrading across the workforce will be crucial to Hong Kong’s future competitiveness, as well as the city’s ability to adapt to AI-driven development and improve residents’ work and daily lives, he said.

The Labour and Welfare Bureau’s latest report shows that Hong Kong would face a manpower shortfall of some 130,000 by 2028, with the gap concentrated in “skilled technical workers” and “services and sales workers”.

To help residents acquire AI skills, Chan said the HKSAR government is making every effort to encourage wider use of AI among the public.

READ MORE: HK economy posts strongest growth in almost five years

According to the latest Policy Address delivered earlier this month, more than 200 training courses and activities will be rolled out by the first quarter of 2028 under the “AI for All” inclusive program.

Upskill Hong Kong -- the former Employees Retraining Board -- will launch an AI upskilling campaign in the first half of 2027 that's expected to benefit about 40,000 employees.

Contact the writer at: gabylin@chinadailyhk.com