Hong Kong Sees Surge in Foreign Direct Investment: A $160 Billion Milestone!

Hong Kong has experienced a big rise in foreign direct investment lately. Between January 2023 and mid-2025, more than 1,300 companies from overseas and Mainland China set up or grew their operations in the city. This brought around $160 billion into the local economy and created over 19,000 jobs in the first year after these companies expanded or established themselves.

Investment Overview: Trends and Key Sector Highlights

It is observed that the majority of new businesses in Hong Kong originate from Mainland China, with significant contributions also from Brazil, Portugal, the United States, the United Kingdom, Singapore, and Canada. According to Invest Hong Kong (InvestHK), key sectors driving investment include financial services, fintech, innovation and technology, family offices, tourism and hospitality, and business and professional services.

In addition to business growth, the New Capital Investment Entrant Scheme has been very important. Since it started in March 2024, the scheme received 1,548 applications by June 2025. Of these, 673 applicants were approved, with confirmed investments over $21 billion and expected investments exceeding $46 billion.

Key Strategies for Future Expansion

Current efforts align with government policies that support sectors like the low-altitude economy, liquor trade, and the development of the Northern Metropolis. InvestHK also helps Mainland companies expand globally by using Hong Kong as an important trade and logistics hub.

Looking ahead, InvestHK will focus on four key sectors: financial services and fintech, innovation and technology, supply chain management and logistics, and sustainable development, particularly in the green economy.

Hong Kong has always been one of the preferred destinations for global capital. These choices made by investors from around the globe are the strongest vote of confidence in investing in Hong Kong. Moreover, Hong Kong offers a highly favorable tax environment for businesses, marked by low corporate tax rates and no capital gains tax. This financial landscape allows companies to reinvest their profits into growth initiatives instead of facing burdensome taxes.

Are you considering options for setting up or expanding your business in the APAC region, Hong Kong should be a top consideration. Its combination of accessibility, favorable regulations, and economic stability positions it as not just a leading contender but a vital destination for any serious business endeavour.

However, it is essential to seek professional guidance and comply with all regulations to ensure a successful business setup process.

BRASIA provides support and advice for businesses operating in Hong Kong.

For more information, please contact us at info@brasia.hk.