(11 June 2026 – Hong Kong) The Hong Kong government is expanding tax incentives and pre-approvals for attracting multinational corporations (MNCs) to establish corporate treasury centres in the city.
The government is enacting a legal change in H1 2027 to broaden the scope of interest deductions eligible for the 50 percent profit‑tax concession introduced in 2016. The HK government has offered tax incentives since 2016 to encourage mainland Chinese and international companies to establish corporate treasury centres in HK to manage international payments, invest excess liquidity and conduct risk management.
The HK government also intends to introduce a pre-approval mechanism under which the Inland Revenue Department would grant approved corporate treasury centres favourable tax benefits for a renewable period, giving companies greater certainty.
“This sets out our targeted actions to strengthen Hong Kong as a premier hub for multinational corporate treasury centres and an optimal platform for ‘bringing in and going global’, leveraging the city’s strength as a leading international financial centre. The government will pursue more double-taxation agreements with major trading partners to prevent overseas companies using Hong Kong as a treasury base from being taxed twice” commented Secretary for Financial Services and the Treasury Christopher Hui Ching-yu..
“The action plan aims to attract more multinational corporations to establish corporate treasury centres in Hong Kong and enable existing centres to scale up operations and fully leverage Hong Kong’s financial ecosystem” Hui added.
“Hong Kong is ideal for mainland companies to set up corporate treasury centres because the city has the world’s largest offshore yuan trading centre, while its stock and bond markets make it easy to raise funds” stated Hong Kong Chinese Enterprises Association Secretary General of the Treasury Centre Committee, Sean Sun.
Cheryl Arcibal reports for SCMP that while Asia Pacific cities account for 39 percent of the top global financial services companies and about 36 percent of the world’s leading financial centres, New York emerges as a clear leader ahead of London, Singapore, Shanghai in fifth, Beijing in sixth and Hong Kong in seventh according to Colliers.
“The centre of gravity for financial services capability is shifting east and organisations, both from within the Asia-Pacific region and around the world, want to be where the talent is. Asia-Pacific talent markets are on the ascent,” said Colliers APAC Managing Director for Occupier Services, Mike Davis.