Fundraising on Hong Kong’s stock market could increase by as much as 80 per cent this year amid optimism in the tech sector and backing from mainland authorities for Chinese companies to list in the city, according to Financial Secretary Paul Chan Mo-po.

The initial public offering (IPO) market could reach between US$17 billion and US$20 billion this year, Chan said at a tech forum on Wednesday. Last year, IPO proceeds in the city stood at US$11 billion, ranking fourth globally.

The estimates are in line with forecasts from Deloitte and PwC, which ranged from HK$130 billion (US$16.7 billion) to HK$160 billion.

He also highlighted the city’s uniqueness, saying that “Hong Kong continues to practise common law, and adhere to the best international business standards and practices.” Meanwhile, Hong Kong is set to host three major wealth and investment events towards the end of the month, underscoring the city’s standing as an international financial centre capable of attracting investors and entrepreneurs from around the world.

Source: SCMP