The Hong Kong Chief Executive, Mr. John Lee, delivered his second annual Policy Address on Oct. 25 2023, with the theme of A Vibrant Economy for a Caring Community. The Policy Address states that the Hong Kong Government will continue to adhere to the principles of a “result-orientated approach” by proposing policy measures to stimulate the economy, improve people's livelihoods, and enhance development of a range of industries.
In the Policy Address, we are pleased to see that the government has actively reviewed and revised property stamp duty measures currently in force. These changes comprise shortening the applicable period for the Special Stamp Duty (SSD) from three years to two years, reducing the Buyer's Stamp Duty (BSD) and the New Residential Stamp Duty (NRSD) by half, from 15% to 7.5%, and introducing a stamp duty suspension arrangement for the purchase of residential property by eligible incoming international professionals.
These measures aim to bring greater stability to the housing market in an environment of uncertainty and to help restore market confidence. The Policy Address also proposes recommendations on attracting incoming talent, enterprises, and investment to develop new industries, and to help shape a more diversified economy and uplift Hong Kong's overall competitiveness on the global stage.
In this special report, we summarize the real estate related policies in the 2023 Policy Address, share our house views, and propose recommendations on current issues.
