Hong Kong Chief Executive Leung Chun-ying delivered a policy address for 2016

ToestablishasteeringcommitteeandanofficeforChina'sBeltandRoadInitiative

HongKongChiefExecutiveLeungChun-yingonWednesdayannouncedtoestablishasteeringcommitteeandanofficeforChina'sBeltandRoadInitiative.

Leungmadetheannouncementwhendeliveringapolicyaddressfortheyearof2016.ItwasthefourthpolicyaddressofLeungsincehewassworninonJuly1,2012.

LeungsaidthecommitteewillberesponsibleforformulatingstrategiesandpolicesforHongKong'sparticipationintheBeltandRoadInitiative,whiletheofficewillco-ordinateworkbetweengovernmentdepartmentsandotherinstitutionsandliaisewiththecentralministries,provincialandmunicipalauthorities,aswellasprofessionalbodiesandcommunityorganizationsinHongKong.

TofurtherattractmultinationalandMainlandenterprisestoestablishcorporatetreasurycentersinHongKong,thegovernmentproposes,underspecifiedconditions,interestdeductionsunderprofitstaxforcorporatetreasurycenters,andprofitstaxreductionbyhalfforspecifiedtreasuryactivities,Leungsaid.

DrivenbytheBeltandRoadInitiative,theChinesemainlandenterpriseswillexpandtheiroverseasbusinessandtherewillbeagreaterdemandforbusinessservices.Asmoreandmoremainlandenterprisesseekto"goglobal"HongKongwillcontinuetoencouragemainlandenterprisestoestablishcaptiveinsurancecompaniesinHongKong,makeinsurancearrangementsandenhanceriskmanagementfortheiroverseasbusinessesexpandedundertheinitiative.

LeungalsomentionedthatHongKongwillcontinuetopromotetheoffshoreRMBbusiness.

Asforeducation,Leungsaid,toattractmorestudentsfromtheBeltandRoadcountriestostudyinHongKong,thegovernmentwillincreasethenumberofoffersundertheTargetedScholarshipSchemeandinject1billionHKdollars(about129millionU.S.dollars)intothescholarshipfundforthispurpose.

HongKonghasdevelopedanextensivenetworkofbusinessconnections,andisthemostimportantMeetings,IncentiveTravels,ConventionsandExhibitions(MICE)center,sourcingcenterandbusinessmatchingcenterinAsia.Assuch,Leungsaid,HongKongmayhelpgovernmentsandenterprisesidentifybusinesspartners,andserveasamajorplatformtopromotetradeandlogisticsundertheBeltandRoadInitiative.

"Itattachesimportancetoinfrastructurestandardsandsafetytomeettherequirementsforsustainabilityandenvironmentalprotection.HongKongmayprovidesupportservicessuchasprojectfeasibilitystudiesandriskassessment,researchanddevelopment,financingandmanagement,"Leungsaid.

Thegovernmentwillallocate200millionHKdollarstosupporttheprofessionalservicessectorinenhancingexchangesandco-operationwiththeBeltandRoadcountriesandotherregionsoutsideHongKong,andpromoterelatedpublicityactivities,hesaid.

Leungsaidtheyearof2016isonewithimportantopportunitiesforHongKongsinceitistheoutsetoftheChinesemainland's13thFive-YearPlanandHongKong'sinnovationandtechnologydevelopment.

Leung,inhispolicyaddress,saidthespecialadministrativeregiongovernmenthasinputnumerousresourcestoimprovelocalresidents'livelihoodduetoincreasedtaxrevenuesinthelastyear.(1U.S.dollar7.75HKdollar)

Tobuilda"smartcity"

LeungChun-yingsaidtheHongKongSpecialAdministrativeRegion(SAR)governmentisweighingthedevelopmentofa"smartcity."

HesaidtheInnovationandTechnologyBureau(ITB)will,incollaborationwithresearchinstitutionsandpublicandprivateorganizations,studythedevelopmentofa"smartcity",whichincludesprovidingfreeWi-Fiservicesatbusstopsandshoppingarcades,openingupmorepublicdatatofacilitatedevelopmentofuser-friendlymobileapplications(apps)forthepublic,anddevelopingintelligenthomes.

TheITBwillformulateadigitalframeworkandstandardsforthedevelopmentofa"smartcity".

"TheInternetisofincreasingimportancetous,"Leungsaid,addingthataccordingtotheWorldCompetitivenessYearbook,HongKonghasrankedfirstgloballyintechnologyinfrastructureforfiveconsecutiveyears.Atpresent,thereareover17,000Wi-Fi.HKhotspotsofferingfreeWi-Fiservices.

HesaidtheSARgovernmentwillprogressivelyexpandthecoverageoffreeWi-Fiservicesbydoublingthenumberofhotspotsto34,000withinthreeyearstoprovidesuchservicesatallpublicrentalhousing(PRH)estates,publichospitals,markets,parks,sitting-outareas,promenades,touristspots,publictransportinterchangesandlandboundarycontrolpoints.HongKongwillthenhaveoneofthehighestWi-Fidensitiesintheworld.

Leungadded,theexistingspeedofWi-Ficonnectionatgovernmentvenueswillbeprogressivelydoubledandsecurityenhanced.

"WewillofferfreeWi-Fiservicesatallyouthservicecentersandstudyroomsrunbythegovernmentandnon-profit-makingorganizations,andworkwithschoolstoimprovethequalityoftheirWi-Fiservicesinordertosupporte-learning."

Inresponsetotheglobaltrendofbigdataanalytics,theITBwillformulatepoliciesonbigdataapplication,hesaid.

Lastyear,thegovernmentlaunchedthePublicSectorInformationportal(data.gov.hk)toprovidemorethan5,000datasets.Thegovernmentwillcontinuetoencouragepublicservicebodiesandcommercialorganizationstoopenupmoredata.

ToconductpublicconsultationonLantaudevelopmentplans

LeungsaidthattheHongKonggovernmentwillconductpublicconsultationinthefirsthalfofthisyearbeforepromulgatingablueprintforthedevelopmentofLantauIsland，theblueprintwillsetouttheindicativeimplementationtimetableforrelatedprojects,addingthatthegovernmentwillsetupadedicatedLantauDevelopmentOfficeassoonaspossibletoundertakethesetasks.

LeungsaidtheLantauDevelopmentAdvisoryCommitteehassubmittedareporttohim,proposingthedevelopmentofaneconomicandhousingcorridoratNorthshoreLantau.ThepopulationwillbeconcentratedinTungChungandSiuHoWan.Developmentforcommercial,tourismandrecreationalpurposeswillbelocatedattheairport,theboundarycrossingfacilitiesislandofHongKong-Zhuhai-MacaoBridge,TungChungEastandtheSunnyBayreclamationarea.NortheastLantauwillbeforleisureandentertainmentuses.

AnotherproposalistoexaminethepossibilityoffurtherdevelopingtheEastLantauMetropolisbyconstructinganartificialislandnearKauYiChau.Inthelongrun,theMetropolisisexpectedtobecomeacommunitywithapopulationof400,000to700,000.ItwilllinkHongKongIsland,LantauandtheNewTerritoriesWest.Prioritywillbegiventobuildingtransportinfrastructureandalow-carbonsmartcityindevelopingtheabove.

MostplacesinLantauarerichinnaturalandculturalresources,butlackfacilities.BoththeLantauDevelopmentAdvisoryCommitteeandthegovernmentconsiderthatapartfromsteppingupconservationefforts,shortandmedium-termimprovementmeasuresshouldbeputinplacetofacilitatepublicenjoymentofLantau,especiallycentralandsouthLantau,headded.

LantauisthebiggestislandofHongKong,withalandmassof147.16squarekilometers,almosttwicethesizeofHongKongIsland.

ToimplementNewAgriculturePolicy

LeungsaidmajormeasuresincludeestablishinganAgriculturalPark,exploringthefeasibilityofdesignatingagriculturalpriorityareas,settingupa500millionHongKongdollars(about65millionU.S.dollars)SustainableAgriculturalDevelopmentFund,providingbettersupportandassistancetohelpfarmersmoveupthevaluechain,inareassuchasproductmarketingandbrandbuilding,anddevelopingleisureandeducationalactivitiesrelatedtoagriculture.

Headdedthatthevalueofagriculturegoesbeyonditseconomiccontribution.Developinglocalagriculturenotonlyincreaseschoicesintermsoforiginoffood,italsohelpsoptimizelanduse,improvetheenvironmentandhygieneinruralareasandconservethenaturalecology.

"Sofar,theSustainableFisheriesDevelopmentFundhasgrantedsubsidiestotalling28millionHongKongdollars.Thegovernmentwillcontinuetoencouragetheuseofthefundtoprovidetechnicalsupportandtrainingforthoseengagedinfisheryoperations,includingthefishingandaquacultureindustries,"hesaid.

Tobanimport,exportofivory

LeungsaidthegovernmentisveryconcernedabouttheillegalpoachingofelephantsinAfrica.

Itwillalsoactivelyexploreotherappropriatemeasures,suchasenactinglegislationtofurtherbantheimportandexportofivoryandphaseoutthelocalivorytrade,andimposingheavierpenaltiesonsmugglingandillegaltradingofendangeredspecies.

"Meanwhile,thegovernmentwillstrengthenenforcementandtakerigorousactionagainstthesmugglingandillegaltradeinivory,"headded.

LeungsaidthegovernmentisnowconsultingthepublicontheformulationofthefirstBiodiversityStrategyandActionPlanforHongKong,withaviewtoimplementingenhancedmeasuresonnatureconservationandsupportingsustainabledevelopmentinthecomingyears.

Tolaunch38.7-mln-USDartdevelopmentscheme

LeungChun-yingsaid thatthegovernmentwilllauncha300-million-HKdollars(about38.7millionU.S.dollars)schemeforartdevelopment.

Leungsaid,theamountofprivatedonationandsponsorshipsecuredbylocalartgroupswillbematchedbygrantsundertheArtDevelopmentMatchingGrantsPilotScheme.

LeungalsosaidhewillmaketheDeputySecretaryforHomeAffairsresponsibleforsportspoliciesastheCommissionerforSportstoco-ordinatecross-bureauorcross-departmentalsportsinitiatives.

Thegovernmentwillformulateacareerprogramforretiredathletes,underwhichschoolsandnationalsportsassociationswillbesubsidizedandencouragedtoemployretiredathletes.