Dedicated Fund on Branding, Upgrading and Domestic Sales (BUD Fund)
To help Hong Kong enterprises capture the opportunities arising from the National 12th Five-Year Plan, the Hong Kong Special Administrative Region Government (the Government) set up a "Dedicated Fund on Branding, Upgrading and Domestic Sales" (the BUD Fund) of HK$1 billion in June 2012 to assist Hong Kong enterprises in exploring and developing the Mainland market through developing brands, upgrading and restructuring their operations and promoting domestic sales in the Mainland.
Since 2018, the Government has injected a total of HK$5 billion into the BUD Fund, and launched rounds of enhancement measures to better support local enterprises, including among others -
- extending the geographical coverage of the funding support from the Mainland (the Mainland Programme) to the member states of the Association of Southeast Asian Nations (ASEAN)1 (the ASEAN Programme), and then further to all economies with which Hong Kong has signed Free Trade Agreements (FTAs)2 (the FTA Programme);
- increasing the cumulative funding ceiling per enterprise successively, from HK$500,000 to HK$2,000,000, and then further to HK$4,000,000; and
- increasing the ratio of initial payment from 25% to up to 75% of the approved government ceiling.
To further support Hong Kong enterprises in exploring more diversified markets and capturing the opportunities brought by the Mainland's National 14th Five-Year Plan, the Government is implementing further enhancements to the BUD Fund by phases, including -
- extending its geographical coverage to include all economies with which Hong Kong has signed FTAs and/or Investment Promotion and Protection Agreements (IPPAs)3 (the FTA and IPPA Programme), and
- increasing the cumulative funding ceiling per enterprise from HK$4,000,000 to HK$6,000,000.
The enhancements will be implemented by three phases from 30 July 2021 to the second quarter of 2022, as follows -
|Phase 1 (effective from 30 July 2021)||
|Phase 2 (Q1 2022)||
|Phase 3 (Q2 2022)||
For details of the BUD Fund, please visit its website (https://www.bud.hkpc.org/en).
1 ASEAN comprises Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.
2 These economies, as at July 2021, include the Mainland, ASEAN, Australia, Chile, the four member states of the European Free Trade Association (i.e. Iceland, Liechtenstein, Norway and Switzerland), Georgia, Macao and New Zealand.
3 As at July 2021, Hong Kong has signed 22 IPPAs covering 31 foreign economies, including the ten member states of the ASEAN, Australia, Austria, Belgo-Luxembourg Economic Union, Canada, Chile, Denmark, Finland, France, Germany, Italy, Japan, Republic of Korea, Kuwait, Mexico, the Netherlands, New Zealand, Sweden, Switzerland, Thailand (an ASEAN member state), the United Arab Emirates and the United Kingdom. The geographical coverage of the BUD Fund will be extended from the 20 FTA economies to the 37 economies with which Hong Kong has signed FTAs and/or IPPAs.