Hong Kong’s HK$5,000 vouchers scheme could be changed to improve flexibility for residents, finance chief says
- Paul Chan says there is scope for tweaking the scheme’s mechanics, with possible changes to the number and size of instalments
- The digital vouchers will be offered to 7.2 million city residents to spend locally at shops, restaurants and other businesses
Changes such as varying the number of instalments could be made to Hong Kong’s HK$5,000 vouchers scheme to enhance flexibility for residents and spur consumption, according to the finance minister.
The initial plan, according to Chan, was to disburse the sum in five monthly instalments with recipients required to spend the entire HK$1,000 before receiving the next tranche. But he revealed on Saturday the specifics of the scheme’s operation were not set in stone.
“There is room for fine-tuning the implementation details, including the number of instalments ... some people said they will use it to buy daily necessities, while others may use it to replace daily expenses. The government will try to set a wider range of scope for consumption,” he told a radio programme.
“If we distribute a big amount of money in one-go, it might only benefit some big companies or merchants.”
The government would also elaborate before implementation on what stored-value payment tools could be used for the scheme, Chad said. The minister added he would urge payment card provider Octopus to offer small retailers discounts for installing its system.
“It would definitely be better if there is a wider scope of consumption, and with fewer restrictions,” he continued.
Chan earlier said he wanted to make the digital vouchers available to as many consumers and merchants as possible so they could be spent at wet markets, fast food outlets, restaurants, and shops both physical and online, while making clear they could not be used with overseas retailers.