Hong Kong balancing financial security, innovation as nation’s ‘firewall’: Paul Chan

Hong Kong has struck a balance between financial security and innovation in its strategic roles as a “testing ground” and “firewall” for the nation’s reform and opening up, the city’s finance chief has said.Financial Secretary Paul Chan Mo-po said on Sunday that security was core to the objective of achieving high-quality development as geopolitical tensions fuel risks in global financial markets and energy supplies.As Hong Kong rolled out the first batch of stablecoin licences last week, the city would also speed up its shift to green energies, he pledged.“In the nation’s pursuit of high-quality development, Hong Kong has long served as a “testing ground” and “firewall” for reform and opening up, assisting the mainland in deepening capital market reforms and preventing the transmission of overseas risks to the mainland,” Chan said in his weekly blog.“Only through innovation within a safe and controllable risk framework can we build a more resilient, dynamic and competitive financial system, which enables us to better withstand external shocks and continue development.”Ahead of the annual National Security Education Day due on Wednesday, Chan pointed out that one of the principles of China’s 15th five-year blueprint from 2026-30 was coordinated development and security.