HK Keeps Third Spot In Global Financial Centres Index

Hong Kong has maintained third place in the semi-annual Global Financial Centres Index, published on Thursday by the UK consultancy Z/Yen and the Shenzhen-based China Development Institute.

The rankings are based on surveys and a host of quantitative factors, including measures from the World Bank, The Economist Intelligence Unit, the OECD and the United Nations.

New York extended its lead at the top of the index, with runner-up London losing ground to rivals in the United States and Asia, including Hong Kong.

Commenting that Hong Kong had thrived despite uncertainties stemming from Covid-19 and the heightened geopolitical tensions which have affected global markets, a government spokesman said: “Thanks to our robust and effective regulatory regime, a well-established institutional framework for systemic risk monitoring and the well-functioning Linked Exchange Rate System underpinned by large foreign exchange reserves, Hong Kong's financial markets have been functioning in an orderly manner with no abnormal signs of capital flow observed.”

New York held its top spot despite shedding points from six months ago, as London shed more points. A similar fall next time would put the British capital behind Hong Kong, Shanghai and Los Angeles, and on par with Singapore, based on their current performances.

London is now the only European centre in the top 10 after Shenzhen replaced Paris in 10th place.

The Hong Kong Government spokesman added: "Hong Kong's unique advantages, including institutional advantages under 'one country, two systems', a fine tradition of rule of law, and a market-oriented and internationalised business environment, coupled with robust infrastructure support, internationally aligned regulatory regimes, a full range of financial products, and free flow of information and capital, have continued to consolidate Hong Kong's status as a leading global financial centre." (Additional reporting from Reuters)