Hong Kong’s finance chief has announced a HK$200 million fund to support “rural tourism” in the city’s sprawling Northern Metropolis development plan.

Financial Secretary Paul Chan said during his annual budget speech on Wednesday that the government would launch the “Northern Metropolis Urban-Rural Integration Fund” pilot scheme in support of its “Tourism Is Everywhere” campaign.

“The scheme aims to encourage non‑governmental organisations and relevant bodies to take forward rural tourism projects and bring economic vitality to rural villages,” Chan said in Cantonese.

The government estimates more than 200 villages will benefit from the scheme, local media earlier reported, citing anonymous sources.

The Northern Metropolis, announced in the 2021 Policy Address, encompasses various proposals, such as the establishment of a technology hub known as the San Tin Technopole and a university town.

The project will cover roughly a third of Hong Kong’s territory. The government says the development will create 650,000 jobs and house 2.5 million people.

Residents affected by the plan and environmentalists have raised concerns that the Northern Metropolis will uproot lives and cause widespread damage to the protected wetlands.

The government has proposed compensation measures for the environmental damage, such as establishing a wetland conservation park and designating a flight corridor for birds.

Chan also said on Wednesday that an additional HK$1 billion would be earmarked for a heritage conservation fund for revitalisation projects and maintenance of historic buildings.

He also announced the government’s plan to conduct a consultation in the second quarter of this year on building a pedestrian walkway at the Kennedy Town Praya – a hotspot popular with mainland Chinese visitors.