Chan says Northern Metropolis spending won’t squeeze livelihoods
Crhk · 1 SOURCESabout 5 hours ago5 MIN
Summary
Financial Secretary Paul Chan Mo-po (陳茂波) said the government’s increased investment in the Northern Metropolis would not come at the expense of livelihood spending, arguing that development must ultimately serve residents. He said the five-year plan sets binding targets for producing developable land in the area because land is the carrier of economic growth and Hong Kong has previously suffered from high property prices caused by inadequate land supply. Chan also said the government has not set a binding economic growth target because Hong Kong is a small, externally oriented economy that is highly exposed to outside conditions, though officials have set a reasonable growth range and will work together under the Chief Executive’s leadership. On financing, he said even if bond issuance is used to support the project, Hong Kong’s debt and reserves remain at manageable levels
Key Points
- Chan said binding targets for ready-to-develop land over the next five years were included because land supply underpins economic development and public confidence
- He said Hong Kong once faced persistently high home prices because land supply was insufficient, making hard land targets necessary in the plan
- Chan said stronger investment in the Northern Metropolis would not squeeze livelihood spending, and added development should ultimately benefit the public
- He said Northern Metropolis development can proceed through multiple approaches, with government handling infrastructure while private markets can take on other projects
- Chan said outstanding debt is about 14% of GDP now and may rise to about 19% in five years, while fiscal reserves still exceed HK$600 billion
Why It Matters
The remarks are aimed at reassuring the public that a flagship development push can proceed without undermining social spending or fiscal stability. They also frame land creation, financing and utility costs as linked issues that could affect how quickly the Northern Metropolis can attract businesses, including data-centre investment