After falling to 16th place in 2023, Hong Kong has now risen to 4th position in the global talent ranking released this week by the International Institute for Management Development (IMD).
This is its best ranking since the report was first published, placing 1st in Asia and behind only Iceland (3rd), Luxembourg (2nd), and Switzerland (1st). Mainland China remained in 38th place, while Macau did not appear in the ranking, which covers 69 countries and regions worldwide.
The significance of the achievement was underscored by Chief Executive John Lee at the Hong Kong–ASEAN Summit. “It is a clear testament to this Government’s efforts,” he said.
The report evaluates factors such as “readiness” (3rd), “appeal” (20th), and “investment in development” (12th). In education, Hong Kong ranked 49th in percentage of GDP allocated to the sector (3.87%), but rose to 15th in public spending per student. The student–teacher ratio stands at 12.1 in primary and 10.7 in secondary education, ranking 19th in both. The region also leads globally in science graduates, ranks 3rd worldwide in the availability of financial skills, and 5th in the effectiveness of management education.
In vocational training, Hong Kong advanced five places to 18th. A similar improvement was recorded in healthcare infrastructure, where it moved up to 8th place. The only indicator where it slipped was female labor force participation, dropping three spots to 5th place.
Visas Bearing Fruit
The recovery follows social and political unrest that began in 2019 and culminated in the introduction of the National Security Law in 2020. In between, the Covid-19 pandemic also contributed to a significant talent exodus. To reverse the trend, Hong Kong launched the *Top Talent Pass Scheme* in 2022 — a talent-attraction program that grants two-year visas to candidates with annual salaries above HK\$2.5 million or graduates from the world’s top 100 universities.
In August this year, Secretary for Labour and Welfare Sun Yuk-han announced that 54% of visas had been extended, with 9,699 applications received and a 94% approval rate.
“I think the extension rate is ideal and satisfactory. It means that one in two talents who came to Hong Kong two years ago have been able to stay,” Sun said, noting that the UK’s talent-attraction program records only a 40% extension rate.
He also dismissed the notion that retaining these talents in the city meant fewer opportunities for local residents.
+Strengthened Potential in ASEAN
ASEAN (Association of Southeast Asian Nations) is currently Hong Kong’s second-largest trading partner, with exchanges amounting to US\$165 billion in 2024, up 14% from the previous year. Lee emphasized the priority of strengthening ties with the bloc’s 10 member countries.
Foreign representatives also recognized Hong Kong’s potential. Malaysia’s Minister of Transport, Anthony Loke, remarked: “Hong Kong’s fintech solutions could streamline trade across all 10 ASEAN countries. Your expertise in green finance could fund our transition to sustainable transport; your logistics innovation could optimize supply chains from Vietnam’s factories to Indonesia’s plantations.”
Meanwhile, Ceferino S. Rodolfo of the Philippines’ Department of Trade and Industry anticipated that when Manila assumes the ASEAN presidency in 2026, Hong Kong could be “a catalyst for a broader, more connected, and more prosperous region.”
