Hong Kong stocks hit an almost three-year high, erasing any losses driven by the trade war with the U.S. on the arisen expectations that Beijing will introduce more stimulus to achieve the growth targets set in the National People's Congress meeting.

Along with the hints at looser monetary policies from the NPC meeting, the government's new growth targets have raised optimism among investors that the country will be taking more impactful measures to tackle the multifaceted economic problems, including the trade war, geopolitical tensions, consumption behavior, and deflation, among others.

The Hang Seng Index jumped 3.29%, or 775.50 points, to close at 24,369.71. The Hang Seng China Enterprises Index surged 3.57%, or 307.69 points, to end at 8,938.09.

Investor confidence has been bolstered by the recent National People's Congress, where the government announced a 5% GDP growth target. This goal has fueled expectations of further economic support measures.

Market analysts are encouraged by indications from the conference that Beijing intends to lower borrowing costs and key rates, including the reserve requirement ratio.

In corporate news, Peijia Medical (HKG:9996) has completed the first two implants with the TrilogyTM Transcatheter Heart Valve System to treat severe aortic regurgitation in Taiwan, China, raising the shares of the company over 12% on Thursday's close.

HBM Holdings (HKG:2142) received an upfront payment for its licensing agreement with Windward Bio AG, along with an equity interest in the latter's parent company. Shares of the company closed over 12% higher on Thursday.