Home Uncategorized Hong Kong business sector favours Beijing’s proposed security law

Hong Kong business sector favours Beijing’s proposed security law

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Hong Kong’s finance chief got mostly positive response from representatives of the banking and private wealth management sectors when he contacted them to gauge concern over the city’s status as a global financial hub a week after Beijing revealed its proposed national security law.

In a wide-ranging interview, Financial Secretary Paul Chan Mo-po told the Post that he found from his meetings with the Hong Kong Association of Banks and the Private Wealth Management Association that their clients tended to support the new law, subject to details of the legislation.

He said the views from industry clients on the matter had not changed even two weeks after China’s legislature, the National People’s Congress, approved the resolution on May 28 to draft the law.

“I checked again with them last night, and their clients are positive about it,” Chan said on Thursday. “Public law and order, as well as stability are important to them, especially after the

social unrest

took a more violent turn in the fourth quarter of last year.”

He added that he would wait until August for a review of Hong Kong’s economic forecast as the coronavirus pandemic had worsened the recession. In April, he downgraded the government’s estimated gross domestic product to a contraction of anywhere between 4 and 7 per cent this year from last year.

He added that he would wait until August for a review of Hong Kong’s economic forecast as the coronavirus pandemic had worsened the recession. In April, he downgraded the government’s estimated gross domestic product to a contraction of anywhere between 4 and 7 per cent this year from last year.

Confidence in the city’s reputation as an international financial hub has taken a hit since news of the new law – which aims to ban activities related to secession, subversion, terrorism and foreign interference in local affairs – came to light. Critics said the law would undermine Hong Kong’s autonomy promised under the “one country, two systems” principle.

But Chan said the law will put Hong Kong on par with major financial markets of London and New York. “Business will go to the place where there are opportunities. Hong Kong is still the best springboard to the Greater Bay Area.”

Finance chief Paul Chan says the proposed national security law will put Hong Kong on par with major financial markets of London and New York. Photo: Sam Tsang

Hong Kong’s finance chief got mostly positive response from representatives of the banking and private wealth management sectors when he contacted them to gauge concern over the city’s status as a global financial hub a week after Beijing revealed its proposed national security law.

In a wide-ranging interview, Financial Secretary Paul Chan Mo-po told the Post that he found from his meetings with the Hong Kong Association of Banks and the Private Wealth Management Association that their clients tended to support the new law, subject to details of the legislation.

He said the views from industry clients on the matter had not changed even two weeks after China’s legislature, the National People’s Congress, approved the resolution on May 28 to draft the law.

“I checked again with them last night, and their clients are positive about it,” Chan said on Thursday. “Public law and order, as well as stability are important to them, especially after the

social unrest

took a more violent turn in the fourth quarter of last year.”

He added that he would wait until August for a review of Hong Kong’s economic forecast as the coronavirus pandemic had worsened the recession. In April, he downgraded the government’s estimated gross domestic product to a contraction of anywhere between 4 and 7 per cent this year from last year.

Confidence in the city’s reputation as an international financial hub has taken a hit since news of the new law – which aims to ban activities related to secession, subversion, terrorism and foreign interference in local affairs – came to light. Critics said the law would undermine Hong Kong’s autonomy promised under the “one country, two systems” principle.

Financial Secretary Paul Chan says public law and order and stability are important to the business sector. Photo: Nora Tam

But Chan said the law will put Hong Kong on par with major financial markets of London and New York. “Business will go to the place where there are opportunities. Hong Kong is still the best springboard to the Greater Bay Area.”

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Asked if the law increased the risks of political interference in business, Chan said he thought otherwise.

Analysts had earlier warned of an increasingly visible hand of politics in business after the United States and investors accused British-based banks HSBC and Standard Chartered of kowtowing to Beijing by supporting the law. The banks have a long history of operations both in Hong Kong and mainland China.

SOURCE:scmp.com

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