Hong Kong Unveils First Five-Year Plan to Align with China

Hong Kong Chief Executive John Lee on Wednesday unveiled the city's first five-year development plan, a blueprint aimed at aligning the financial hub's economy more closely with mainland China's strategic priorities. The plan, which covers the period from 2026 to 2030, marks a significant shift toward adopting the long-term, state-directed planning model used by Beijing. The central goal is to boost innovation and technology investment. The plan sets a target for research and development to account for 3% of Hong Kong's gross domestic product after 2030, up from 1.63% in 2024. Lee identified artificial intelligence, robotics, microelectronics, new energy, and advanced manufacturing as key focus areas. A major component is the acceleration of the Northern Metropolis project, a massive tech hub development near the mainland border first proposed in 2021. The plan sets a binding goal to increase spadeready sites in the area to 900 hectares by 2031, up from 120 hectares in 2026. The project is envisioned to eventually provide homes for about 2.5 million people and create approximately 650,000 jobs. Lee emphasized that the plan does not represent a move to a planned economy.