DBS Survey: 63% of Hong Kong Firms Optimistic on Business Outlook; Nearly Half Cite Tax Incentives as Most Effective Growth Stimulus
On.cc · 2 SOURCES1 day ago2 MIN
Summary
DBS Hong Kong has released findings from its Hong Kong Business Outlook Survey, showing robust optimism among local enterprises. The survey, conducted from August 6 to September 7, 2026, polled 250 business owners and decision-makers from small, medium, and large enterprises. Sixty-three percent of respondents expressed optimism or strong optimism regarding Hong Kong's business environment over the next 12 to 18 months, with 53% citing product or service innovation as their primary strategic priority for the coming three to five years .
Key Points
- Sixty-three percent of surveyed enterprises expressed optimism about Hong Kong's business prospects for the next 12 to 18 months, with 53% prioritizing product or service innovation over the next three to five years
- Forty-nine percent of respondents identified tax incentives and fiscal support as the most effective measures to stimulate investment and growth, followed by cross-border trade facilitation at 40% and innovation and technology development support at 35%
- Sixty-two percent of large and medium enterprises have fully or partially integrated AI and digital technologies into their operations, compared to only 38% of small and medium enterprises
- Survey participants cited talent shortages and data security concerns as the top two challenges facing technology adoption, each mentioned by 37% of respondents, while 35% pointed to high implementation and maintenance costs
- Regarding the Northern Metropolis development, 30% of respondents saw direct cross-border collaboration and access to the mainland market as the primary opportunity, with 29% highlighting investment prospects
Why It Matters
The survey results underscore a clear policy preference among Hong Kong businesses: nearly half want targeted tax and financial incentives to translate optimism into actual investment. This insight arrives as Hong Kong prepares its inaugural Five-Year Plan, offering policymakers concrete guidance on which measures would most effectively mobilize private sector resources for regional expansion and innovation-driven growth .
The survey results underscore a clear policy preference among Hong Kong businesses: nearly half want targeted tax and financial incentives to translate optimism into actual investment. This insight arrives as Hong Kong prepares its inaugural Five-Year Plan, offering policymakers concrete guidance on which measures would most effectively mobilize private sector resources for regional expansion and innovation-driven growth .