A Hong Kong University of Science and Technology (HKUST) report has suggested that Hong Kong risks losing out to Greater Bay area rivals if innovation and technology is not improved.

The report states that Hong Kong is facing challenges in developing a knowledge based society and sustainable economy, and cites government non-interventionalist policy as a cause. The reports calls for the government to narrow the gap between university research and product development, and that more innovation friendly policies are required.

The Greater Bay Area scheme is the Chinese government's effort to link nine cities around the Pearl River Delta with Hong Kong and Macau in order to create an integrated economic hub. The scheme currently does not include education or innovation, however one of the report authors states that the Hong Kong government should be proactive in this area and not wait for policy from the central government.

The report authors acknowledge that some efforts have been made to support innovation and technology in Hong Kong already, such as setting up of a bureau and increased funding. However they state that better policy is required to engage universities and industry to build an innovation and technology ecology.

Commentary by Steve Corry, Education Services Lead East Asia:

Hong Kong lags behind other developed economies in terms of proportion of public spending on R&D, and application of research is a weakness, as covered in our earlier insights blog - https://education-services.britishcouncil.org/insights-blog/higher-education-research-hong-kong-%E2%80%93-new-focus-impact

There is perhaps an opportunity for Hong Kong to learn from the UK in terms of application of research, encouraging a knowledge economy and forming an ecosystem for innovation.

Source - http://www.scmp.com/news/hong-kong/hong-kong-economy/article/2146076/universities-warn-hong-kong-must-innovate-or-die