Paul Chan says Hong Kong is ‘advantageous’ for IPOs in overture to Indonesian companies

Hong Kong can play a strategic role in supporting Indonesia’s economic growth and encourages the country’s businesses to look to Hong Kong to raise capital and set up treasury centres, Financial Secretary Paul Chan Mo-po said on Wednesday.

Companies in Southeast Asia’s most populous nation should find Hong Kong’s capital market an “attractive and advantageous” place for raising funds, due to its unique geographic position near mainland China and the depth of the city’s stock market, Chan said during the “Think Business: Think Hong Kong” symposium in Jakarta, organised by the Hong Kong Trade and Development Council (HKTDC).

“Indonesian companies listed on the Hong Kong exchange will be able to tap into both international and mainland capital,” Chan said, adding that the fundraising potential would suit infrastructure projects under the 2045 vision of the nation’s president to double per capita GDP. “We encourage your infrastructure projects to seek funding in Hong Kong.”

Amid rising geopolitical tensions in the region, many enterprises simply diversified industry and supply chains across different countries, particularly in the Global South, said Chan.

As this trend continues, Hong Kong can offer effective management and corporate treasury services, logistics professional consultants, as well as extensive international connections, he added.