Hong Kong gov't unveils measures to tap into elderly's purchasing power, push ‘silver economy'
Hong Kong authorities have announced a slew of measures to leverage the purchasing power of the city's senior citizens, including spending incentives, insurance products, and re-employment schemes.
On Tuesday, the Working Group on Promoting Silver Economy, chaired by Deputy Chief Secretary Warner Cheuk, unveiled 30 measures to boost spending among senior citizens, develop elderly-focused products, enhance financial security, and encourage re-employment.
Cheuk said at a press conference on Tuesday that people aged 60 and above spent about HK$342 billion last year, accounting for about 11 per cent of the city's Gross Domestic Product (GDP).
'The elderly account for a large proportion of Hong Kong's population. With favourable financial conditions and purchasing power, they are a huge consumer group that cannot be overlooked, as they create a huge demand for silver economy-related products and services,' he said.
Cheuk said the new measures would 'inject vitality into the local economy and promote overall economic development, as well as [spur] the cultivation of high-quality silver products and service modes, so that the elderly can share the fruits of development.'
However, the government would not set performance goals for the measures, as they would be outsourced, and their results would be 'rather beyond the control of the administration,' the deputy chief secretary said.
He added that it would be 'quite substantial' if the elderly's annual spending could increase by 5 per cent per annum, amounting to a rise of HK$17 billion in the first year.
Discounts, insurance, jobs
To drive consumption, the retail sector will provide elderly discounts, the catering sector and food manufacturers will offer meals suitable for the elderly, while the Trade Development Council will supply 'silver products' aimed at the needs of senior citizens.
The working group also announced measures to promote quality assurance for elderly-focused products through quality standards and accreditation schemes, including elderly-accessible building designs.
It also announced financial security arrangements, including cross-boundary elderly care insurance products, strengthened financial planning, and anti-scam education for the elderly.
To unleash 'silver productivity,' the government will assist senior citizens to re-enter the workforce through retraining programmes and job fairs.
The Labour and Welfare Bureau will also review existing schemes such as the Re-employment Allowance Pilot Scheme and the Employment Programme for the Elderly and Middle-aged 'to further explore measures to encourage the employment of persons aged 60 or above.'
The formation of the government working group was listed as one of the policies in Chief Executive John Lee's 2024 Policy Address, in which he cited the 'growing demand for products and services catering to the elderly' due to the rapid expansion of the silver market.
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