A 37m-long inflatable sculpture, attired in a way reminiscent of Mickey Mouse, floated out into Hong Kong's Victoria Harbour yesterday, as an excited crowd looked on.

Titled Kaws:Holiday, it is the work of American artist Kaws, and visited Seoul and Taipei prior to its arrival in Hong Kong.

Tugboats towed the sculpture - based on Companion, one of Kaws' most recognisable cartoon characters which has a skull and crossbones for a head and crosses for eyes - into the harbour and placed it off Hong Kong's Central district.

Part of Hong Kong Arts Month, the sculpture will remain there until the end of the month.

Kaws told reporters: "Hong Kong's such a busy city... I thought it would be a good juxtaposition to have a work like this just floating in Victoria Harbour."

The work has been compared to a giant yellow duck which was displayed in Victoria Harbour in 2013.