HKMA Taskforce explores Northern Metropolis financing
The Northern Metropolis Financial Advisory Taskforce, jointly established by the Hong Kong Monetary Authority and The Hong Kong Association of Banks, held its inaugural meeting. The Taskforce discussed financing needs and opportunities for the Northern Metropolis development.
Metropolis projects take shape
The inaugural meeting of the Northern Metropolis Financial Advisory Taskforce focused on the key development projects and associated financing needs for the next three years.
Representatives from the Development Bureau and the Innovation, Technology and Industry Bureau presented on specific initiatives, including four land parcels in Phase 1 of the Hong Kong Park within the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone.
Also highlighted was the first pilot area under large-scale land disposal in the Hung Shui Kiu/Ha Tsuen New Development Area, both currently under tender.
This detailed information aims to enable participating banks to actively engage in the Northern Metropolis's development, providing a clearer framework for formulating business plans and allocating resources.
Banks are expected to support these projects through various financial mechanisms such as syndicated lending, bond underwriting, and other ancillary services, facilitating the initial phases of this ambitious urban development.
Green finance for diverse models
The Taskforce acknowledged that Northern Metropolis projects will employ diverse development models, moving beyond conventional approaches to include large-scale land disposal and the establishment of industry park companies adopting public-private partnerships.
This diversity implies varying scales, financing tenors, scopes, operating models, and durations for individual projects.
Participating banks committed to offering tailored financing solutions designed to accelerate industrial development within the Northern Metropolis and attract upstream and downstream enterprises.
Furthermore, banks pledged to reference the Hong Kong Nature-based Solutions Design Guidelines and the HKMA's Sustainable Finance Action Agenda.
This commitment ensures that sustainable finance solutions are offered for projects meeting these guidelines and international green and sustainable finance standards, supporting both development and conservation while enhancing the banking sector's climate resilience.
The Taskforce, established in April 2026, comprises the HKMA, HKAB, and 21 banks with project financing experience.