Month: December 2025

Speech by SFST at International Forum “Problem-Solving City: Hong Kong as a Disputes Resolver” (English only) 
Ladies and gentlemen, distinguished guests,
 
     It is a great honour to address you for this esteemed forum, “Problem-Solving City: Hong Kong as a Disputes Resolver”. I extend my sincere thanks to the organisers – the Hong Kong Coalition, Friday Culture Limited, and the AALCO (Asian-African Legal Consultative Organization) Hong Kong Regional Arbitration Centre – for convening this timely event. While I am not with you at the event physically due to other commitments, I know you are gathering at the historic Former French Mission Building, and it is a symbol of Hong Kong’s rich heritage and forward-looking spirit, reminding us of our city’s unique ability to bridge traditions and innovations. I also commend my colleague, the Secretary for Justice, for his insightful keynote earlier, which set a strong foundation for discussions on dispute resolution. I am delighted to share the Government’s vision and policy measures with you that align with the forum’s key themes, particularly in fostering standards and resolutions in emerging sectors such as Web 3.0 and digital assets.
      
     Hong Kong has long been recognised as a global problem solver, leveraging our robust legal framework and international connectivity to resolve disputes across borders and industries. This role extends beyond traditional arbitration and mediation into the financial and technological realms, where rapid evolution demands proactive governance. The forum’s focus on mediating disputes in sports and setting standards for Web 3.0 resonates deeply with the Government’s commitment to creating an ecosystem that promotes fairness, innovation, and sustainable growth. In sports, effective mediation ensures that conflicts do not hinder athletic progress or international collaboration. Similarly, in the digital economy, harmonising standards is essential to mitigate risks, build trust, and resolve potential disputes before they escalate. Our policies are designed to position Hong Kong not only as a dispute resolver but as a proactive architect of global standards, ensuring that economic activities thrive in a regulated yet dynamic environment.
 
     Central to this vision is our dedication to developing a trusted and innovative digital asset ecosystem. In June this year, my bureau issued the Policy Statement 2.0 on the Development of Digital Assets in Hong Kong, building upon the foundational measures from the inaugural statement from 2022. This 2.0 statement reinforces our commitment to establishing Hong Kong as a global hub for digital asset innovation. It introduces the “LEAP” framework, which emphasises Legal and regulatory streamlining, Expanding tokenised products, Advancing use cases through cross-sectoral collaboration, and developing People and partnerships. This approach directly addresses the need for harmonised standards in Web 3.0, where decentralised technologies like blockchain and tokenisation present both opportunities and challenges in dispute resolution.
      
     One of the cornerstones of our regulatory enhancements is the Stablecoins Ordinance, which came into effect on August 1 this year. This legislation establishes a licensing regime for issuers of fiat-referenced stablecoins, ensuring that any entity issuing such assets in Hong Kong, or marketing them to our public, obtains approval from the Hong Kong Monetary Authority (HKMA). Guided by the principle of “same activity, same risks, same regulation”, we adopt a risk-based approach that aligns with international standards while reflecting local circumstances. The HKMA’s stablecoin issuer sandbox, launched last year, has allowed institutions from diverse sectors – including banking and technology – to test business models in a controlled environment. By end-September this year, we received 36 licence applications from a broad spectrum of applicants, and we anticipate granting a handful of licenses in early next year, prioritising robust reserve management, price stabilisation, and anti-money laundering measures. These steps not only protect investors but also facilitate the resolution of potential disputes by embedding clear compliance pathways, reducing ambiguities that could lead to conflicts in transactions.
      
     Furthermore, we are advancing regulatory regimes for digital asset dealing and custodian service providers. Following public consultations, my bureau, in collaboration with the Securities and Futures Commission (SFC), are formulating details for licensing regimes, with a bill targeted for introduction to the Legislative Council next year. This comprehensive framework will cover key nodes in the digital asset industry, balancing risk management with innovation. In parallel, the licensing regime for digital asset trading platforms, operational since June 2023 under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance, has seen 11 platforms licensed. Recent circulars from the SFC allow these platforms to share global order books and expand offerings, enhancing liquidity and connectivity. Such frameworks and measures ensure that disputes arising from trading or custody are resolved efficiently through established regulatory channels, reinforcing Hong Kong’s role as a dispute resolver in the digital space.
      
     Tokenisation of real-world assets is another pivotal area where our policies promote harmonisation and dispute prevention. The SFC’s circulars in November 2023 and the HKMA’s guidance in February last year provide clarity on tokenised securities and custodial services, enabling banks and intermediaries to engage safely. Last year, we authorised the first retail tokenised gold product and five tokenised money market funds, with assets under management reaching $4 billion in August this year. The Project Ensemble Sandbox, launched by the HKMA in August last year with the SFC as a key partner, tests tokenisation use cases, paving the way for innovative financial infrastructure. These initiatives extend to Web 3.0 by standardising tokenisation processes, which can minimise disputes over asset ownership or valuations through transparent, blockchain-based records.
      
     Our efforts also encompass intermediaries providing digital asset services. A joint circular from the SFC and the HKMA was updated in 2023 allowing retail access to dealing, advisory, and asset management services. We have pioneered the listing of digital asset futures ETFs (exchange-traded fund) in December 2022, spot ETFs in April last year, and an inverse product in July last year. The SFC’s “ASPIRe” roadmap, announced in February this year, facilitates staking, borrowing, and lending services, with guidance issued to manage risks. These policies ensure that Web 3.0 participants operate under consistent rules, facilitating mediation and resolution when issues arise.
      
     Beyond digital assets, our broader policies strengthen Hong Kong as an international financial centre and our country’s global financial gateway, as outlined in the 14th Five-Year Plan. Measures like enhancing stock market competitiveness – through the Technology Enterprises Channel, optimising listing rules, and facilitating overseas listings – bolster our platform for resolving financial disputes. Expansions in mutual access schemes, such as Swap Connect enhancements this year, including extended tenors and increased quotas, deepen connectivity. In green and sustainable finance, the Government Sustainable Bond Programme has issued bonds equivalent to $250 billion as of November this year, with innovative tokenised issuances.
      
     In conclusion, the Hong Kong Government’s policy measures are meticulously crafted to harmonise standards in Web 3.0 and digital assets, positioning our city as a premier dispute resolver. By prioritising investor protection, regulatory clarity, and international alignment, we create an environment where innovation flourishes without compromising stability. Together, we can ensure Hong Kong remains a beacon of problem-solving in the global arena. Thank you.
Issued at HKT 16:00

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HYAB launches new round of HYAB – United Nations Volunteer Internship Programme          
     In the 2025 Policy Address, the Chief Executive emphasised that the Government would continue to promote youth development. This includes providing more opportunities for young people to participate in the internships of international organisations and attend international conferences, in order to broaden their international horizons and cultivate a holistic outlook. The HYAB – United Nations Volunteer Internship Programme provides local undergraduate students with valuable opportunities to undertake six-month volunteer internships in the overseas field units of various United Nations (UN) agencies. Interns will be able to develop their personal capacities and gain insights into global issues, as well as contribute to the international community as Chinese youth volunteers. So far, around 150 students have participated in the Programme. The selected university students for the Programme in 2025 undertook internships in UN agencies located in different countries, including the UN Development Programme, the UN Children’s Fund, and the Food and Agriculture Organization of the UN. By participating in international affairs, they contributed their expertise and acquired valuable work experience in international organisations.
      
     The new round of the Programme will offer a total of 20 internship placements in different UN agencies located in the Belt and Road region, including Kazakhstan, Laos, Nepal, Thailand, Uzbekistan and Vietnam. The volunteer internships will cover specific areas, such as health and education, environment and innovation management, and will run from July to December 2026. Applicants should be full-time undergraduate students of local universities. The HYAB will provide full funding, including round-trip air tickets and monthly living allowances, and offer suitable pre-departure training for participants in collaboration with the AVS.

     Details of the Programme are available on the designated webpage (www.avs.org.hk/eng/UNVIssued at HKT 15:00