6 key takeaways for HK marketers from the Policy Address 2026 and five-year plan

Hong Kong chief executive John Lee delivered his third Policy Address and the city's first five-year plan today (16 September) at LegCo, centred on long-term planning, reform, development, and benefiting the people.

Hong Kong's five-year plan features a blue cover to symbolise openness, progress, and stability, while the Policy Address retains its signature green cover to represent continuity, vitality and hope.

With the theme "以長遠謀全局 以改革開新篇 促發展創機遇 惠民生向未來", this year's Policy Address embodies the long-term vision of the five-year plan, the government's blueprint for Hong Kong as a whole, driving reform, promoting development, creating opportunities, and extending the economic dividends of development to the people, so that they may share in the fruits of progress and embrace the future.

A special booklet highlighting both documents will be released to help the public better grasp their contents. Its cover features Victoria Harbour in the morning light and blends the colours of the two document covers.

Lee said that he and his principal officials held more than 100 consultation sessions over the past three months, engaging directly with the public and going into the community to hear residents' views. The authorities received more than 17,000 submissions on the Five-Year Plan and more than 11,000 on the Policy Address.

Below, MARKETING-INTERACTIVE lays out some of the key takeaways from the Policy Address 2026 and the five-year plan that businesses and marketers in Hong Kong should focus on.

1. Driving AI application and risk management

The government will step up efforts to promote AI applications across trades while balancing innovation and security, enhancing Hong Kong's competitiveness in AI development.

The HKMA's Generative Artificial Intelligence (GenAI) Sandbox (生成式人工智能沙盒) is upgraded to the cross-sector GenA.I. Sandbox++, with use cases and participating sectors expanded beyond banking to include securities, wealth management, insurance and MPF. Testing of selected use cases in the new cohort will commence within this year.

In AI applications in tourism, from the end of this year, the Hong Kong Tourism Board (HKTB) will add an AI personalised travel recommendation feature to Discover Hong Kong and, by integrating with third-party data platforms, launch a dedicated HKTB smart travel page in map applications. Meanwhile, in the broadcasting aspect, Radio Television Hong Kong will strengthen the use of AI technologies and new media platforms to enhance production quality and efficiency, and expand its audience reach.

To promote AI training for all, the government will roll out more than 200 courses and activities under the "AI for all" inclusive programme by the first quarter of 2028, building AI awareness and responsible use at different levels. The government will also roll out the "Robots in the community" pilot programme to raise citizens' awareness of embodied AI and promote digital inclusion.

Upon its upgrade, Upskill Hong Kong will launch an 18-month AI upskilling campaign in the first half of 2027, featuring a free online course on workplace AI applications. Participants who complete it may enrol free in advanced short-term AI courses across industries. The initiative is expected to benefit around 40,000 employees.

In supporting SMEs, The government will enhance the Digital Transformation Support Pilot Programme (DTSPP) by providing subsidies, on a matching basis, to support more SMEs in applying AI and cybersecurity-related solutions. The BUD Fund10 also provides more targeted funding support for enterprises in implementing projects involving AI elements.

While driving industry upgrades and improving public convenience, AI also brings challenges such as AI-enabled crime, user responsibilities, protection of minors, AI agent management, and employment impact. The government will therefore roll out risk management measures: 

• The government's AI risk-governance strategy focuses on seven aspects: combating the use of AI in criminal activities; protecting underage users; establishing a governance framework to regulate AI ethics; promoting application safety; clarifying liability for accidents caused by AI products; formulating safety-management guidelines for AI Agents; and assessing the impact of the widespread use of AI.
• The DPO will engage industry bodies to drive sector-specific AI application guidelines, accreditation and governance frameworks, and provide professional advice and support.
• The HKMA and IA have drawn up action plans to foster responsible AI adoption and practitioner competency. The SFC will oversee the establishment of robust governance, risk management and internal control measures.
• The DPO is piloting the use of AI agents in the government and has incorporated provisions into an AI adoption guide for departments. Based on the practical experience gained, the government will promulgate, in collaboration with the AIRDI, AI agent safety-management guidelines applicable to society at large next year.

2. Establishing HK as an international innovation and technology centre 

Hong Kong is pressing ahead with the development of an international I&T centre, which is based in the GBA, serving the entire country and connected to the world.

To promote industry-academia-research integration and support national breakthroughs in frontier technologies, the government has made the five key R&D institutions a strategic priority. Besides the HKPC and the Hong Kong Applied Science and Technology Research Institute (香港微電子研發院), it has established three high-quality R&D institutions: the MRDI, established in 2024; the AIRDI (香港人工智能研發院 ), expected to begin operation this year; and the LHTRI, whose preparatory work will be largely completed this year and which will focus on "AI+life sciences". 

Local universities will lead three branches, setting key development directions based on their research strengths, such as advanced diagnostics, new-generation prevention and therapeutics, and ageing-related diseases.

The government will release a medium-to-long-term development plan for new industrialisation in Hong Kong this year, setting out a new industrialisation development pathway centred on "high technology, high value-added" activities, accelerating the growth of emerging industries and producer services of strategic value, laying the foundation for future industries.  

In strengthening support for start-ups, the government will step up support for local start-ups as the Innovation and Technology Industry-Oriented Fund is expected to launch this year. Around 20 fund managers have been shortlisted to raise capital for sub-funds. An additional $1 billion has been earmarked for the enhanced Innovation and Technology Venture Fund to select more fund managers.

Exploring the establishment of the Hong Kong Innovation and Technology Application Scenario Promotion Centre, the ITIB will support the HKSTPC in setting up this centre. By matching public and private sector application needs with I&T solutions from the three major I&T parks and five key R&D institutions, it will serve as a premier launchpad for innovative technologies, help companies meet industry standards and obtain market certification, and support I&T enterprises in going global.

In promoting the development of a low-altitude economy ecosystem, the government will take further steps to implement pilot projects under the LAE "Regulatory Sandbox X" and broaden application scenarios. About 10 projects have begun testing, including demonstrations of unmanned aircraft traffic management systems and unconventional aircraft.

3. Developing the hub for high-calibre talent 

The government will promote the integrated development of education, technology and talent, and improve strategic coordination and implementation mechanisms, while strengthening the roles of institutions, research institutes, innovation platforms and enterprises in attracting and nurturing talent.  

To promote post-secondary education in Hong Kong and attract outstanding students from around the world, the Education Bureau (EDB) has established the task force on study in Hong Kong (留學香港專班), and organised the first "Study in Hong Kong Week" (留學香港周), as well as the largest-ever Asia-Pacific Association for International Education 2026 Conference and Exhibition. 

The government is working to make Hong Kong an international hub for post-secondary education and top talent. It will promote "Hong Kong: Your world-class campus" internationally, with exhibitions in target areas such as Belt and Road countries. UGC-funded universities are planning more than 160 recruitment activities in the Chinese Mainland and overseas in the 2026/27 academic year. The pilot arrangement allowing graduates of Hong Kong universities' GBA campuses to stay under the Immigration Arrangements for Non-local Graduates will also be extended by two years, helping more talent work in Hong Kong.

To promote quality and quantity development of student hostels, the Development Bureau (DEVB) and EDB launched the Hostels in the City Scheme in July 2025, easing restrictions to encourage the market to convert or redevelop commercial buildings into self-financing, privately run student hostels. To date, 41 applications have been confirmed, providing about 10,800 bed spaces. The DEVB will put the first student hostel site up for sale this financial year.

To attract needed talent and promote exchange and training, the government will consider adding AI-related categories to the talent list (人才清單), which currently covers 60 professions facing local shortages. It will also relax extension-of-stay requirements under the Top Talent Pass Scheme (高端人才通行證計劃) for technology start-up founders supported by designated public sector organisations, exempting them from proof of company income. 

The Immigration Facilitation Scheme for Invited Persons (特邀人士入境便利計劃) will expand from ASEAN to Central Asia and the Middle East, with all bureaux and departments able to issue invitations. A new visa category will also allow non-locals to join short-term training programmes recognised by bureaux and departments, supporting Hong Kong's development as a regional training hub.

4. Developing a regional IP trading centre

To protect R&D, innovation and creative outcomes, the government will continue strengthening its patents, trademarks, designs and copyright regimes, boost in-house examination under the original grant patent (OGP) system, and make registration more efficient. It will also promote intellectual property (IP) valuation and financing, cut IP trading costs, and nurture IP management and commercialisation talent, consolidating Hong Kong's position as a regional IP trading centre.

Success cases have progressively been recorded since the launch of the IP financing sandbox last year, unlocking a new financing channel for enterprises holding quality IP assets. We will, based on market response, prepare to launch the next phase of the sandbox with broader participation and more practical applications.  The Business of IP Asia Forum, scheduled for November this year, with IP financing as the theme, will bring together experts from different places to pursue development opportunities. 

The Intellectual Property Department will continue to develop and expand its patent examination team and strengthen its in-house examination capacity for OGP applications in major technology fields. The department will roll out pilot facilitation measures for the relevant OGP applications next year. 

The Hong Kong Intellectual Property Academy will be officially launched in the fourth quarter of this year. It will provide more systematic on-the-job, talent-training programmes with a higher level of recognition, raising the IP literacy of practitioners in sectors such as technological innovation, cultural and creative, commerce and industry, and professional services. 

In formulating a regulatory framework for local patent agents, the government has completed an industry consultation on regulating local patent agency services. The industry broadly supports a registration regime with professional titles and qualification requirements. A public consultation will launch this year, with legislative proposals next year. The government will also introduce a bill this year to implement tax-deduction arrangements for capital expenditure incurred for purchasing IP rights, or for the licence to use IP rights, in a bid to support IP trading's development.

In deepening top-level planning, the government will establish the "Strategy committee on Intellectual Property Trading Development". It will bring together representatives from innovation, technology and the creative industries, as well as from commerce and industry, IP professional services and other sectors, to assist the government in formulating strategies and support measures for the promotion of IP trading.

5. Developing an east-meets-west centre for international cultural exchange

Since the promulgation of the 14th Five-Year Plan, China has expressly supported Hong Kong's development as an East-meets-West centre for international cultural exchange.  

The West Kowloon Cultural District (WKCD) is Hong Kong's significant and strategic cultural infrastructure investment and one of the world's largest cultural hubs. In 2025, it attracted more than 17 million visitors. The WKCD has entered into nearly 50 collaborative agreements with renowned arts and cultural institutions around the globe, and successfully brought numerous exhibitions and performing arts programmes to the Mainland and overseas.

Scheduled to open next year, the WestK Performing Arts Centre will feature four performance venues built to the highest international theatre standards, including "Dancehouse", the first dedicated venue for dance art in Hong Kong. An extraordinary line-up of performances will be presented in its inaugural year, featuring the world premiere of a large-scale production by the resident company, as well as Hong Kong's debuts of internationally acclaimed dance, theatre and Broadway shows, and major co-productions with local and overseas art groups.

Over the next two years, the Hong Kong Palace Museum will take its precious collections on overseas tours, Australia and Uzbekistan included, bringing traditional Chinese culture to global audiences.

While Hong Kong ranks among the world's top three arts trading centres, the government will complete a study on arts trading this year to consolidate its advantages. The WKCD will welcome its first Mainland arts auction house later this year, and the new WestK Academy (西九文化區學院) will run an international fellowship for auctioneers with a Mainland trade association, plus courses on Chinese arts and heritage conservation.

To promote sustainable development and the industrialisation of performing arts, we will inject $200 million into the Arts and Sport Development Fund (Arts Portion). While maintaining the current overall funding level for major performing arts groups (MPAGs), a funding and in-and-out mechanism tied to performance and artistic merit will be introduced. This will encourage innovation among MPAGs and provide opportunities for medium-sized arts groups with consistently outstanding performance to become MPAGs. 

Moreover, the Hong Kong Academy for Performing Arts is taking forward the temporary campus extension in Chai Wan and its long-term plan to construct a second campus in the NM.

6. Deepening the integrated development of culture, sports and tourism

The Culture, Sports and Tourism Bureau is pressing ahead with the integrated development of culture, sports and tourism. To support the film industry and promote "Film + Tourism", the government will review the Film Development Fund to attract private investment and explore venue provision for film sets. The Cultural and Creative Industries Development Agency will set up a support unit for Non-local Film Productions, offering one-stop services to Mainland and overseas film crews.

The HKTB will also offer an immersive experience weaving classic Hong Kong films, district characteristics and local culture, including a Yau Ma Tei route based on classic police-and-crime films with local night markets and dining.

In sports, the government will explore redeveloping Victoria Park Centre Court and ancillary facilities into an iconic all-weather, multi-purpose venue for larger-scale sports events and performances, strengthening the "sports + mega events" approach.

Hong Kong's tourism industry is performing well, with 49.9 million visitor arrivals in 2025, up 12% year-on-year, and inbound tourism expenditure estimated at HK$238.1 billion, up about 10%. Overseas visitors travelling onwards to the Mainland via Hong Kong exceeded 20% in the first half of 2026. The government will capitalise on Central Government facilitation measures, deepen collaboration with Mainland provinces and municipalities, and explore additional immigration facilitation for international visitors, while the HKTB promotes multi-destination itineraries and overseas publicity.

Under "+ Tourism" joint initiatives, the government will integrate events with tourism to extend visitor stays. The HKTB will demarcate annual seasons for International Arts (February to May), Chinese Arts (June to September) and Festive Mega Events (October to February), and the government will regularise additional funding for flagship events. Other initiatives include "Finance + Tourism" linking financial landmarks around Central, "Industrial brand + Tourism" routes, "Ecological conservation + Green tourism" with a trial reservation system at High Island Reservoir, and "Heritage + Tourism" opening over 200 monuments and historic buildings.

On the ticket stub economy, the government will promote ticket stub offers to extend visitor stays and spending, with the HKTB providing one-stop contact services and enhancing Discover Hong Kong with a new mobile application. For the yacht economy, new berth projects are moving ahead, including the Aberdeen composite development and the Airport City "SKYTOPIA" yacht bay, while Hong Kong and Macao yachts may now navigate nine GBA cities and the first northbound travel set sail in June. The Marine Department will sign an MoU with the Guangdong Maritime Safety Administration for southbound travel.

Other measures include renewing Central through Lan Kwai Fong streetscape works and encouraging private participation, extending the Hong Kong Restaurants Halal Certification Funding Scheme to 2027, exempting deed restrictions to facilitate home-stay lodgings on the outlying islands, expanding the specialised tourist guide licensing programme, and enhancing passenger clearance through the AUTOS pilot scheme at the Hong Kong-Zhuhai-Macao Bridge port in December and the redeveloped Huanggang Port, expected to open in the fourth quarter.

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