Speaking on radio yesterday, Hong Kong-Singapore Business Association president Philip Chan Man-ping said the SAR has geographical advantages that protect the city from being replaced by other competitors.

"It is a very healthy competition, it's just like playing golf, not boxing. In boxing, sometimes competitors want to knock out each other," Chan said.

"Our deputy prime minister [Heng Swee Keat] recently visited Hong Kong and he has always emphasized that Singapore has a lot of investment in Hong Kong, so we want to enjoy the mutual cooperation to develop more business with each other."

Chan urged the SAR government to further relax its border restrictions, adding many Hong Kong businesses have moved to Singapore to seek out opportunities.

"We are looking forward to seeing the so-called '0+0' [arrangement]. It will provide much more convenience, not just for business travelers. We business travelers already don't mind 0+3, but Hong Kong is very reliant on tourists. I hope Hong Kong can remain a tourist hub," he said.

Chan said Singapore canceled most of its anti-Covid measures in May as the city-state has a very high vaccination rate.

Over 92 percent of its people, including foreign workers and domestic workers, have been triple-jabbed, he said.

Chan said the talent competition is not only between Hong Kong and Singapore but also involves the mainland and other countries.

His comments came a day before Chief Executive John Lee Ka-chiu's first policy address. Lee has said his address will also focus on talent acquisition amid a global talent war.

Speaking on the same radio program, economist Andy Kwan Cheuk-chiu said it is crucial to strengthen education, ensure competitive salaries and offer quality living environments to lure global talent back to the SAR.

Kwan, ACE Centre for Business and Economic Research chairman, said authorities should make sure talent can see "a brighter prospect" in the SAR.

"Right now in Hong Kong, the economy is going downhill. If you want to attract people, you have to make sure they can see a future in Hong Kong," he said.

"We all know vacancies in international schools are low and it's competitive to even try to get a place," he said, adding authorities should work on education, housing and pay, as they are the three major considerations global talent look at.

He said the 15 percent stamp duty for non-local home buyers is also a big deterrent.

"Many people have complained about expensive rent and very high property prices in Hong Kong," he said. "If they abolish [the stamp duty] immediately, it means they can buy cheaper housing."

To attract foreign businesses, Kwan said authorities should also lower tax rates and minimize procedures to provide incentives.

"If they start a business branch in Hong Kong, maybe they can offer them early stage tax reduction and exemption," he said.