The latest financial status report from the West Kowloon Cultural District reveals that the deficit has further widened to HK$769 million, hitting a six-year high with a staggering 33% increase compared to last year. Basic income has also plummeted by 18%, leaving only HK$871 million, and fundraising has taken a hit, dropping by 30% to HK$167 million. Despite a continuous rise in visitor numbers and events this year, ticket sales, programs, and donations have yet to show significant improvement, resulting in increased operational pressure.
Insiders admit that cultural and artistic projects are inherently difficult to profit from immediately, much like renowned cultural institutions in Europe and the US that rely on government or foundation support. In the case of the West Kowloon Cultural District, while post-pandemic social normalization has boosted foot traffic, changing consumer and sponsorship habits, alongside a turbulent global economic situation, make it challenging for revenues to rebound swiftly.
Currently, the authority is striving for diversified income sources, not solely relying on property sales for financial support but actively promoting commercialization, brand partnerships, original exhibitions, and performing arts programs, hoping to establish a more sustainable operational model in the long run. In the future, West Kowloon aims to deepen its content production capabilities, expand its commissioned cultural brands, and continue to manage finances prudently to meet market challenges. However, it may still take time before turning losses into profits, but management promises to fully promote financial health while steadfastly pursuing the dream of building a world-class cultural hub in Hong Kong.
