Hong Kong’s Paul Chan dismisses call to count residential properties as assets under capital-attracting entrant scheme

Finance chief also tells lawmakers that he expects economy will experience further growth during remainder of this year

Chan cites sensitivity to ‘supply and demand’ as reason for avoiding counting residential properties as assets under New Capital Investment Entrant Scheme

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Hong Kong is hoping to attract capital and high earners under the New Capital Investment Entrant Scheme. Photo: Yik Yeung-man

Published: 1:45pm, 3 Jun 2024Updated: 8:30pm, 3 Jun 2024

Hong Kong’s finance chief has dismissed a proposal to count residential properties as investments under a revised entrant scheme despite house prices stabilising, citing the sensitivity of such assets to supply and demand.

Financial Secretary Paul Chan Mo-po on Monday also briefed the Legislative Council on the state of the economy and said he expected further growth throughout the year, in line with an earlier estimated annual range of 2.5 per cent to 3.5 per cent.

Chan said there had been a noticeable improvement in the residential property market’s atmosphere after authorities scrapped decade-old curbs.

Hong Kong logged an average of 6,300 residential property transactions per month in March and April, surpassing the average monthly figure of 4,700 recorded from 2019 to 2023, he said.

Chan also noted housing prices had increased by 2 per cent between March and April.

But he brushed off a suggestion from lawmakers, including Jeffrey Lam Kin-fung and Holden Chow Ho-ding, to count residential properties as assets in applications under the New Capital Investment Entrant Scheme.