SFC Chief's Extended Term Anchors Hong Kong's Fintech Reforms on Lion Rock Resilience

The Hong Kong Securities and Futures Commission (SFC) has extended the tenure of Julia Leung Fung-yee, its chief executive officer, for an additional two years to ensure continuity in its regulatory reforms. The government announced on November 15 that Leung, who took office in January 2023, will now serve until December 31, 2027. This decision underscores the administration's commitment to maintaining stable leadership amid a series of market overhauls, including enhanced oversight of fintech innovation and digital asset regulations. Leung, the first female head of the SFC, has been instrumental in navigating Hong Kong's financial sector through evolving global standards and local challenges.

Hong Kong's broader economic resilience also bolstered the decision. The city's third-quarter GDP expanded by 3.8% year-on-year, driven by robust exports and sustained domestic demand. This growth, coupled with the government's revised 2025 GDP forecast of 3.2%, highlights Hong Kong's role as a regional financial hub. Acting government economist Cecilia Lam noted that "continued increases in inbound tourism and vibrant financial market activities" are expected to further support service exports, a key sector under SFC jurisdiction.

Meanwhile, Hong Kong-backed tech initiatives are gaining traction, reflecting the city's push to diversify its economy. A locally invested semiconductor startup, StarFive, recently launched a RISC-V-based data center chip named after the Lion Rock, a symbol of Hong Kong's resilience. The chip, compatible with Intel servers and already adopted by Huawei's xFusion subsidiary, aims to capitalize on the AI-driven demand for computing power. Such developments align with the SFC's mandate to foster innovation while ensuring regulatory compliance in emerging sectors.

Regulatory discussions also extended to ride-hailing services, where Uber Hong Kong advocated for a flexible driver quota system. The company urged the government to base licensing on service metrics like waiting times, arguing that rigid caps could exacerbate wait times and pricing pressures for users. With a regulatory framework expected in early 2026, the debate highlights the SFC's evolving role in balancing market dynamics with consumer interests.