Hong Kong Fintech Ecosystem Report

PART I: HONG KONG FINTECH AT A GLANCE 13 Distinctive Status and Advantages of Hong Kong under “One Country, Two Systems” - Simple and low tax system • Two-tiered corporate tax rate - First HK$2M of profits: 8.25% Profits above HK$2M: 16.5% • Standardized salary and property taxes of 15%, and NO extra tax Profits Above HK$2M 16.5% First HK$2M of Profits 8.25% Sources: i. Hong Kong's Free Trade Agreements,Trade and Industry Department ii. Hong Kong's Investment Promotion and Protection Agreements, Trade and Industry Department Excellent Access to Markets - Extensive global networks • 114 Consulates General / Honorary Consulates • Participation in 8 international organizations including (in alphabetical order) Asia-Pacific Economic Cooperation (APEC), the European Union (EU), International Monetary Fund (IMF), Organizations for Economic Co-operation and Development (OECD), Pacific Economic Cooperation Council (PECC), World Trade Organization (WTO) • 9 Free Trade Agreements with 21 economies i including (in alphabetical order) ASEAN, Australia, Chile, EFTA (the Member States of the European Free Trade Association), Georgia, Macau SAR, Mainland China, New Zealand and Peru • 24 Investment Agreements with 33 economies ii (in alphabetical order) ASEAN Australia Austria Belgo-Luxembourg Economic Union Canada Chile Denmark Finland France Germany Italy Japan South Korea Kuwait Mexico Netherlands New Zealand Sweden Switzerland Thailand U.A.E. U.K. Pending entry into force: Bahrain Turkey - Unique access to the Greater Bay Area and Mainland China - An international financial, shipping and trading center • Stable currency • Free flow of capital and goods • No tariff on import or export of goods - Free, open, and regulated business environment - A gateway to Mainland China and the world Hong Kong's Unparalleled Advantages