Chief Executive John Lee announced in his Policy Address a cut in the stamp duty on Hong Kong stock trading from 0.13% to 0.10%, in a bid to lift turnover and re-energise the territory's capital markets.
The reduction aimed to address persistent declines in average daily turnover on the Hong Kong stock exchange and to underline the city's competitiveness against rivals such as Singapore.
A new task force on enhancing stock market liquidity, chaired by senior officials and industry leaders, delivered recommendations covering listing rules, market structure, and product innovation.
Subsequent reforms have included a treasury share buyback regime, severe-weather trading arrangements, and a streamlined approach to dual primary and secondary listings for Greater China issuers.