Hong Kong pins business, tourism hopes on Middle East

As global luxury brands brace for a slowdown in traditional growth markets, Jing Daily’s latest report, Driving Luxury Revenue in the Middle East: KSA and UAE, provides an incisive look at the region poised to defy the economic trend. Click here for access. What happened Hong Kong is positioning itself as a gateway for Middle Eastern businesses seeking to diversify their investments and expand into Asia-Pacific. As part of these efforts, Charles Ng, associate director-general of investment promotion at Invest Hong Kong (InvestHK), held key meetings in Saudi Arabia and the United Arab Emirates from April 6 to yesterday, engaging with representatives from major businesses, family offices, and investors. “Amid an increasingly complex global landscape and geopolitical uncertainties, countries in the Middle East are actively diversifying their investments. Hong Kong, as a global financial center and a ‘super connector’ between the Mainland, Asia, and the rest of the world, is uniquely positioned to support this shift,” said Ng in a statement. “Under the ‘one country, two systems’ framework, our city boasts a strong legal system, free flow of capital and information, and regulations aligned with international standards,” he added. Already home to more than 2,700 family offices, Hong Kong aims to add 200 more by 2025, capitalizing on its unique access to cross-border investment opportunities in mainland China. The city is also looking to boost its economy by attracting more affluent tourists. In February 2025, Hong Kong announced it would allocate over HK$1.23 billion ($158 million) to the Hong Kong Tourism Board (HKTB), which will be used to target member states of the Gulf Cooperation Council (GCC) and the Association of Southeast Asian Nations (ASEAN), in line with the government’s ambitious tourism blueprint, released in December 2024. According to the blueprint, Hong Kong’s tourism market is set to grow by 60%, from HK$75.3 billion ($9.6 billion) in 2023 to HK$120 billion ($15.4 billion). In addition to creating a more Muslim-friendly environment, the territory plans to leverage cultural, sports, ecological, and mega events like Hong Kong Fashion Fest to put itself back on the map. The Jing Take Years after the 2019 protests and the pandemic, Hong Kong is still struggling to revitalize its tourism industry. Although the city welcomed close to 45 million visitors in 2024, up 31% year-over-year, this number falls short of the record-breaking 65.1 million arrivals seen in 2018. Moreover, the uptick in visitor numbers has not translated into higher spending; between 2023 and 2024, per capita spending fell from HK$8,150 to HK$6,675 ($1,051 to $860). Officials attribute the dip in spending to longer-than-usual stays in 2023, with visitors primarily traveling for the purposes of family or business. Hong Kong is hoping to turn things around, in part, by diversifying its source markets. According to a report by Mastercard and CrescentRating, the Muslim travel market will reach 230 million arrivals and contribute $225 billion by 2028. The focus on the GCC, in particular, is strategic, as its outbound travel market is projected to grow at a compound annual growth rate of around 7% until 2033. Known for its young, high-spending tourists, the GCC also boasts a per capita expenditure well above the global average. However, appealing to these Muslim-majority nations requires a few accommodations. Since last year, Hong Kong has made great strides in expanding its Halal-certified food offerings, with over 140 restaurants receiving certification by February 2025 — nearing its goal of 500 halal restaurants by the end of the year. Moreover, the city has increased the availability of prayer spaces in major tourist attractions and promoted Arabic language support across airports and taxis. At the same time, serving the high-end travel segment demands an elevated level of service. To meet the discerning expectations of GCC luxury travelers, Hong Kong has launched “Travel in Luxe Hong Kong” — a program offering bespoke itineraries and exclusive access, including private shopping concierge services, helicopter tours over the iconic skyline, and VIP access to Hong Kong Disneyland’s nighttime show. With the GCC outbound market poised for strong growth in the coming years, other countries could take a cue from Hong Kong’s efforts — ranked the fourth most Muslim-friendly non-OIC (Organization of Islamic Cooperation) destination in 2024. By positioning itself as a hub for high-end tourism and a magnet for investment and wealth management, Hong Kong is steadily reclaiming its place among Asia’s leading financial and lifestyle destinations. The Jing Take reports on a piece of the leading news and presents our editorial team’s analysis of the key implications for the luxury industry. In the recurring column, we analyze everything from product drops and mergers to heated debate sprouting on Chinese social media.

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Hong Kong pins business, tourism hopes on Middle East