Starting last Friday, Hong Kong has unveiled an advanced system to facilitate the relocation of international businesses. This initiative aims to bolster the city's reputation as a premier financial hub by enabling foreign companies to transfer their legal registration to Hong Kong while preserving their original corporate identity. The new framework eliminates the need for liquidation or re-incorporation, offering a smoother transition for qualified entities.

A cornerstone of this approach is its focus on maintaining operational continuity. Companies that relocate under this scheme will retain their legal status, ensuring uninterrupted business activities both during and after the process. Moreover, the government has pledged to offer unilateral tax credits to address potential issues of double taxation on profits subject to local taxes post-relocation. Financial Secretary Christopher Hui highlighted these benefits during his recent outreach in Canada, where he engaged with key figures from prominent insurance firms like Manulife and SunLife.

Hong Kong's robust infrastructure in investment, trade, and financial services positions it as a prime destination for global enterprises, especially within the insurance and risk management sectors. The introduction of this regime has already garnered interest, with one major international insurer expressing its intent to relocate on the very first day of implementation. Beyond attracting multinational corporations, this move aligns with broader strategies to enhance regional competitiveness and promote emerging fields such as green finance and virtual assets. Through these efforts, Hong Kong continues to solidify its standing as a forward-thinking international financial center.