Chief Executive John Lee appeared on a radio phone-in programme this morning to take questions from the public about the 2024 Policy Address.

In an hour-long session, Mr Lee answered questions on topics ranging from the economy to innovation and technology (I&T), land and housing, and more.

Addressing its overall economic situation and future development path, the Chief Executive said that Hong Kong has gone through many changes over time and remains an attractive city. He stressed that the Government is optimistic about the economy and expects overall growth of between 2.5% and 3.5% this year.

“That means the macro-economy is positive but the micro-economy, particularly for some sectors, they may have to think of new ways of doing things, so as to make themselves attractive,” he added.

A major of focus in the Policy Address was backing for the I&T sector, with Mr Lee vowing to develop new quality productive forces tailored to local conditions as Hong Kong strives to develop as an international I&T centre.

Responding to a question on the topic on-air, he said: “I think I&T has to be the way forward. I think the whole world really has gone in that direction. And I think if we want to remain competitive, and also to remain prosperous, we need to work hard in this area.

“What we are doing now in regard to I&T (is on) many fronts. First of all we need talents because good people, I think, are the key.

“We want to set up more laboratories, so that there will be more possible products to be transformable. And then, we want more money to be put into research. The Government alone cannot be the only source (of money) because we are still only investing about 1.07% of the whole GDP (gross domestic product) of Hong Kong.”

During the programme, Mr Lee also responded to questions on Hong Kong's housing situation,

He iterated that the Policy Address introduced various measures to assist home buyers, including an adjustment of the maximum loan-to-value ratio for all properties to 70%.

Despite the challenges presented by the limited supply of land, the Chief Executive said that ensuring people’s housing needs are met is the responsibility of the Government.

The Policy Address also included plans to enact legislation to tackle the issue of subdivided units.

Asked about the Government's approach, Mr Lee said: “It is such a big problem and all the different factors that affect the present occupants are so diverse. So, I will be doing it in a very orderly manner, progressively. And people will be given sufficient notice to know what will happen.

“First of all, we need legislation so people know the standards that will be set for what (will) then become the only available, lawful Basic Housing Units (BHUs) in Hong Kong.

“The market will develop because there is a demand. Once it is regulated, then those who provide these units will know the rules of the game.”

He added that once the new standards have been enforced, the market will set the optimal level of rents for BHUs.