Unlocking Greater Bay Area Opportunities: Hong Kong as Thailand’s Gateway

 

As a major gateway to the GBA, Hong Kong plays a crucial role in facilitating cross-border trade, investment and innovation. Mr Parson Lam, the Director of the Hong Kong Economic and Trade Office in Bangkok (HKETO), shared how Thai businesses can leverage Hong Kong’s unique strengths to gain access to this vast and rapidly growing market.

 

 

GBA as a global economic powerhouse

Mr Lam highlighted that the region presents unparalleled opportunities for Thai enterprises looking to expand internationally. With a population of approximately 87 million and a combined GDP of US$2 trillion in 2023, the GBA ranks among the world’s top economies, keeping up with that of Canada or Italy, and is roughly equivalent to the tenth- or eleventh-largest economy in the world. It has already attracted 70% of Fortune Global 500 companies, underscoring its strategic importance as a global business hub. 

 

"Hong Kong remains the most business-friendly gateway for Thai businesses to enter the GBA market, thanks to its low tax regime, free flow of capital, and common law system under the ‘one country, two systems’ framework,” he said. “Our deep and liquid financial market further strengthens Hong Kong’s position as a preferred destination for regional expansion.”

 

The city is ranked as the number three financial centre in the world, after New York and London. The stock market continues to be vibrant with a market capitalisation of US$4.4 trillion, ranked in the top eight in the world, and Hong Kong was the 4th largest initial public offering market in 2024, raising more than US$11.2 billion US dollars. Furthermore, Hong Kong has a leading position in the offshore RMB market, where 80% of offshore RMB payments around the world are settled there.

 

 

He noted that no other city matches Hong Kong’s level of sophistication of connectivity with the Mainland and global markets. With the strong support from China and being closely connected to the world, Hong Kong has been empowered to fully leverage the role as a “super connector” and “super value-adder".

 

 

Policy Initiatives Facilitating Business Expansion

Mr Lam also introduced the recent policy measures to enhance business facilitation and support business growth in the GBA. These initiatives include: 

- Streamlined visa access: from July 2024, non-Chinese Hong Kong permanent residents will be able to apply for a new card-type document, eliminating the need for separate visas to enter the Mainland China and facilitating people flow;

- Cross-boundary Wealth Management Connect Scheme: enhanced in February 2024, this initiative allows cross-boundary investment in wealth management products, creating new opportunities for international investors to access Mainland China’s financial markets; and

- Logistics and infrastructure upgrade: the development of sea-air intermodal cargo transshipment services by the Airport Authority Hong Kong, along with the region’s high-speed rail and road networks, facilitates efficient goods movement across the GBA.
 

Strong ties between Thailand and Hong Kong

Trade and economic ties between Thailand and Hong Kong have continued to grow. In 2024, bilateral trade in goods reached approximately US$20 billion, with an average annual growth rate of 4% over the past four years. Hong Kong is also the third-largest foreign investor in Thailand, with US$2.1 billion in direct investment last year. The strong flow of tourists—over 520,000 Thai visitors to Hong Kong and nearly 900,000 Hong Kong visitors to Thailand in the past year—demonstrates the deep-rooted people-to-people connections that support economic cooperation.

 

Mr Lam noted that key sectors with strong potential for Thai businesses include finance, innovation and technology (I&T), trade and tourism.  As an international financial centre and the largest offshore RMB market, Hong Kong provides a strong foundation for cross-border transactions. The city is also investing in fintech, asset management and sustainable finance, offering opportunities for Thai financial institutions and investors.

 

The innovation sector is another area ripe for collaboration.  Hong Kong and Shenzhen are jointly developing the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone to foster cross-border innovation.  Thai tech companies and startups can leverage Hong Kong’s ecosystem to scale their operations and access the GBA’s vast consumer and investment markets.

 

Mr Lam encouraged Thai businesses to engage with HKETO and the Hong Kong Trade Development Council to gain insights into market entry strategies and business opportunities. He also emphasised the importance of visiting Hong Kong and the GBA to experience firsthand the business environment and connect with potential partners.

To further promote these opportunities, the HKETO recently hosted a luncheon seminar attended by over 100 guests from the government and business community of Thailand. 

 

The event, themed “Unlocking New Horizons: Hong Kong and the Greater Bay Area as a Hub for Global Business and Finance”, showcased Hong Kong’s role as a trusted partner for Thai enterprises looking to access the GBA’s immense potential.

 

The Minister of Commerce of Thailand, Mr Pichai Naripthaphan, attended the luncheon and delivered a speech, reaffirming the strong commitment of both Hong Kong and Thailand to deepen economic and trade collaboration.

 

Also speaking in the luncheon seminar were two officials from the Government of the Hong Kong Special Administrative Region, namely the Commissioner for the Development of the Guangdong-Hong Kong-Macao Greater Bay Area, Ms Maisie Chan, and the Under Secretary for Financial Services and the Treasury, Mr Joseph Chan. They delivered speeches to promote Hong Kong’s unique strengths and the development opportunities of the GBA, and highlight Hong Kong’s latest developments in the financial sector respectively.