Hong Kong SAR as a Financial Center for Asia: Trends and Implications
IMF Working Papers, March 1, 2008
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- Hong Kong SAR as a Financial Center for Asia: Trends and Implications
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Bibliographic details
- Authors: Olaf Unteroberdoerster, Cynthia Leung
- Published: March 1, 2008
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451869194.001
Summary
- We document Hong Kong SAR's evolving role as an international financial center in the Asia region, the importance of the growing special link with China as well as supply-side advantages, and outline the scope for future financial services growth.
- Hong Kong SAR has a long established track record as Asia's premier center for cross-border financial transactions.
- Further financial opening of China is likely to consolidate Hong Kong SAR's leading position as Asia's international financial center over the medium term.
- Preserving Hong Kong SAR's first-mover advantage in the long-term calls for a development strategy that balances reaping the benefits from the special China role with the need to transcend into a truly international center in the long run.
Major themes and findings
- Evolving role as an international financial center in Asia, with an emphasis on cross-border financial transactions.
- Growing special link with China is a central driver of Hong Kong SAR's relevance and future prospects.
- Supply-side advantages underpin Hong Kong SAR's established track record.
- Medium-term consolidation of Hong Kong SAR's leading position is tied to further financial opening of China.
- Long-term competitiveness requires strategic development beyond the special China relationship toward broader internationalization.
Policy implications and strategic recommendations
- Balance strategies that:
- Reap benefits from the special China role.
- Promote evolution into a truly international financial center over the long run.
- Focus on sustaining supply-side advantages while adapting to changes in cross-border financial flows stemming from China's financial opening.
Publication and metadata
- Authors: Olaf Unteroberdoerster, Cynthia Leung
- Date: March 1, 2008
- Series: Working Paper No. 2008/057
- Issue: 057
- Volume: 2008
- Pages: 18
- DOI: https://doi.org/10.5089/9781451869194.001
- ISBN: 9781451869194
- ISSN: 1018-5941
- Subjects: Capital account, Capital flows, Financial services, Foreign direct investment, Portfolio investment
- Keywords: banking, BIS banking statistics, China, IMF staff estimate, WP
Summary derived from the IMF working paper landing page for "Hong Kong SAR as a Financial Center for Asia: Trends and Implications".