Hong Kong, mainland China sign ‘milestone’ MOU on promoting digital economy

Hong Kong and mainland China have formalized a significant partnership to accelerate their shared digital economy ambitions. The Memorandum of Understanding (MOU) was signed by Hong Kong's Secretary for Innovation, Technology and Industry, Sun Dong, and Wang Jingtao, deputy director of China's top internet regulator, the Cyberspace Administration of China (CAC). The ceremony was witnessed by Hong Kong Chief Executive John Lee Ka-chiu and CAC director Zhuang Rongwen, underscoring the high-level political commitment behind the agreement. The core objective is to align Hong Kong's tech development with China's national strategic goals, specifically supporting the implementation of the country's 15th five-year plan for economic and social development from 2026 to 2030.

The MOU establishes a concrete framework for cooperation in several critical technological areas. A primary focus is the joint promotion of artificial intelligence (AI), signaling a coordinated push for development and adoption. It also aims to create smoother mechanisms for cross-boundary data flow, a historically complex issue, which could significantly ease operations for tech firms operating in both regions. Furthermore, the pact includes collaboration on blockchain technology. For Hong Kong, this deal is a strategic move to leverage its unique position under the 'one country, two systems' principle, using mainland support to bolster its goal of becoming a leading international innovation and technology (I&T) centre and driving a new I&T-led economy.