Transcript Global Summit of Innovation Economy Creators on Apr 19

Fostering Innovation Development
– Hong Kong Experience
E. Anthony Tan
Chief Executive Officer
Hong Kong Science and
Technology Parks Corporation
Global Summit of Innovation Economy Creators
April 2012
2012 Index of Economic Freedom
An annual guide published by The Wall Street Journal and The Heritage
Foundation, Washington's No. 1 think tank.
Hong Kong’s economy: the Freest in the world (with overall score: 89.9)
Rule of Law
Global Ranking
World
Country
Rank
Property
Overall
Change from
Rights
Score
Previous
Freedom
from
1
Hong Kong
89.9
+0.2
2
Singapore
87.7
+0.3
3
Australia
83.1
+0.6
4
New Zealand
82.1
-0.2
5
Switzerland
81.1
-0.8
Limited Government
90.0
Government
91.0
Spending
84.0
Fiscal
93.1
Freedom
Corruption
Regulatory Efficiency
Open Markets
Business
Trade
98.9
Freedom
Labor
Freedom
86.5
Freedom
Monetary
Freedom
(Source: http://www.heritage.org/index/country/hongkong)
90.0
Investment
90.0
Freedom
85.8
Financial
90.0
Freedom
(Source: http://www.heritage.org/index/country/hongkong)
The New Economic Order
The rise of the BRICS nations: Brazil, Russia, India, China, South Africa
GDP (US$ Billion)
BRICS:
•population 2.94 billion(~1/3 world)
•GDP US$13.6 trillion (~21% of World
US$63.04 trillion)
•Reserves US$4.4 trillion (~35% of WW)
Source: IMF Data & Statistics Sept. 2011
Source: IMF Data & Statistics Sept. 2011 & CIA World Fact Book 2010
China - Key Economic Regions
2009 GDP Comparison
0.94
Shenyang
Beijing
Tianjin
Nanjing
Shanghai
Chengdu
GDP (US$ Trillion)
1
0.88
0.53
0.23
Wuhan
Chongqing
0
Hangzhou
Yangtze River Beijing-TanjinDelta
Hebei
Guangzhou
Shenzhen
Hong Kong
Greater PRD
Hong Kong
2009 GDP Per Capita Comparison
35,000
32,466
GDP Per Capita (US$)
30,000
25,000
20,000
13,734
15,000
10,000
9,402
6,805
5,000
0
(Source: http://www.zpooo.com/info/)
Yangtze River
Delta
Beijing-TanjinHebei
Greater PRD
Hong Kong
The Greater Pearl River Delta (PRD)
9 +2 (Hong Kong & Macao)
Over 42% of Hong Kong companies
have R&D presence in PRD
Area: 42,824 km2
Population: 470 million
(~94% of EU population)
(Source: http://www.info.gov.hk/info/gprd/pdf/F_GPRD_Overview.pdf)
Success Factors
for Innovation Development
Market - China
Capital- Global Financial Centre
As of 2012, China has the world's
second-largest nominal GDP, totaling
approximately 47.2 trillion yuan
(US$7.48 trillion), with rising living
standards.
Hong Kong is an international financial center
with a high degree of transparency and
prudent regulatory enforcement.
Talent - From Around the World
2008 recorded over 36,000 talents from
overseas/Mainland to HK.
HKU/CUHK/HKUST: 3 leading research
U rank top 40 of World University
Ranking 2011 (QS Quacquarelli
Symonds Limited). 4 HK Engineering
Schools are top 100 of global ranking.
Stock Exchange Market Capitalization (2011)
Exchange
USD bn (End-2011)
1
NYSE Euronext (US)
11 796
2
NASDAQ OMX (US)
3 845
3
Tokyo Stock Exchange Group
3 325
4
London Stock Exchange Group
3 266
5
NYSE Euronext (Europe)
2 447
6
Shanghai Stock Exchange
2 357
7
Hong Kong Exchanges
2 258
In 2011, total equity funds raised by HKEx
was US$ 62.9billion, with 101 newly listed
companies on the Main Board and GEM
raising US$33.3 billion - ranking first globally
for the third year in terms of funds raised by
initial public offers (IPOs).
Multinational
Companies
University
Research
Local well
established
companies
R & D Centres:
e.g ASTRI
Early
Technology
Adaptors
New Technology
Start-up
CAPITAL
Hong Kong
Science & Technology
Parks
Incubation
Angel / VC
Gov’t Funding
Infrastructure
Support
Gov’t Incentives
e.g. LED Light Bulb, EV
Window of Opportunities
Mainstream
Market
MARKET
TALENT
HK Technology Ecosystem
HK/PRD Ranked No.1 in
R&D Expenditure & Personnel (2009)
900
800
700
600
500
400
300
200
100
0
HK + GD
Sha ngha i
Ji a ngs u
Zheji a ng
Bei ji ng
Ti a nji n
Sha ndong
Li a oni ng
Hebei
Total R&D Expenditure (RMB 100Million)
Total Full-time Equivalent of R&D Personnel ('000)
Total Domestic Patents ('00)
Source: China Statistical Yearbook 2010
China Statistical Yearbook on Science and Technology 2010
Hong Kong Innovation Activities Statistics 2009
Hong Kong Science & Technology
Parks Corporation
Hong Kong Science Park
Industrial Estates
InnoCentre
Hong Kong Science Park
(3-phase Development)
Phase 1
Phrase 1
Phase 2
Phase 3 (Constructing)
Information Communication
Technology
Phrase 2
Biotechnology
Phrase 3
Green Technology
Phase 3
Gross floor area: 105,000 sqm
Development Cost: US$0.6bn
Bldg occupation: End 2013- End 2015
Phase 3 Objectives
To plan and develop phase 3 into a sustainable
development that incorporated the latest green
technologies and green building design
To accomplish its vision being a role model in
promoting and implementing green sustainable construction and development in Hong Kong
Targeting net zero carbon with due consideration
of cost-effectiveness and road-mapping
To evolve Phase 3 into the catalyst to develop
Hong Kong and Pearl River Delta Region as the
hub for clean-tech
A New Horizon
The Green Decade
China’s Ambition in Green
Technology
The 12th Five Year Plan (2011-2016) further
emphasises energy and environment development
Improve Building Energy Saving
More Mandatory Green Targets
All new buildings are mandated to achieve
65% energy savings compared to the
existing building stock
The 12th FYP maintained the existing four
mandatory greentech targets while adding
6 new mandates, e.g. percentage of nonfossil fuel from primary energy
consumption
Energy and Environmental Taxes
Policies for Innovation Stepped Up
New environmental tax plan which is likely
to be levied on CO2 emissions and
discharges of polluted water, has been
submitted to the State Council for review
Strategic Emerging Industries which
include new energy vehicles, energy
efficiency and new energy (solar, wind
and biomass) are identified to help
advance economic development.
(Source: The China Greentech Report 2011)
Hong Kong Science Park
Enabling Growth and Innovation
Phase 1+2
(Current)
Phase 1+2+3
(Projected)
382 Companies
(32% from overseas)
>500 Companies
>9,000 people
>12,000 people
Annual Turnover
~US$16billion
(2011/12)
Russia
Innovation
Development
-a bright future
Hong Kong
Inception of Hong Kong
Science & Technology Parks
Corporation
HKSP now home to:
382 companies
>9,000 employees