Hong Kong 2020-21 Budget. 5 key Business Highlights
28 February 2020
The Hong Kong Government just released the 2020-21 budget mainly focused on helping business and stimulate the economy. The word “stimulate” is used when governments use monetary policy (issuing money or taking money from the economy) to kick start growth in times of slowdown.
To many Australians, the statement above may arouse memories of the famous Rudd stimulus of up to $950 per person in 2009. Below are the key highlights that will be in play for business owners in Australia that operate in Hong Kong or those looking to enter the high demand Asian market.
Highlights:
- HKD200million allocated for training allowance for workers, subsiding SME contractors with a ceiling of HKD20,000 each.
- Business registration fees waived for 2020-21.
- 75% of electricity charges for 4 months in 2020-21 waived, with a monthly cap of HKD5,000.
- 75% of water and sewage charges waived for 4 months in 2020-21 with a monthly cap of HKD20,000 and HKD12,500 respectively.
- 100% government guaranteed concessionary low-interest loans for corporate enterprises (maximum HKD2million)
Source: Bloomberg.com