Asia St: Why the New Hong Kong Chief Executive Policy Address Matters

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Why the New Hong Kong Chief Executive Policy Address Matters

October 7, 2021

Hong Kong Chief Executive Carrie Lam (Photo Credit: Wikimedia Commons).

BGA Senior Director Chi-Jia Tschang wrote an update to clients on the new policy address by Hong Kong Chief Executive Carrie Lam. The update examined the context for the development, its significance as well as implications for businesses.

Context

Hong Kong Chief Executive Carrie Lam on October 6 delivered the Chief Executive’s 2021 Policy Address. The address is one of the key dates to watch for within the policy calendar.

This address was closely watched in particular given the state of Hong Kong’s politics. Within this context, Lam has not indicated whether she will run in the next chief executive election, scheduled for March 27, 2022.

Significance

Lam’s address focused on national security and sectoral areas such as housing and land. She emphasized measures to safeguard national security and uphold the “one country, two systems” principle, closer integration with mainland China through a massive new development near Hong Kong’s border with China and strategies to solve housing and land supply issues.

There were no new measures proposed to relieve the burden on companies and individuals imposed by the Covid-19 crisis. There was also no strategy suggested for how the city could move out of the current restrictive travel and quarantine measures.

Implications

Lam’s detailed reorganization proposal will be playing out in the coming months, including through consultations with sectors and stakeholders. This includes setting up a culture, sports and tourism bureau, splitting the transport and housing bureau and expanding the innovation and technology bureau.

Measures in individual sectors will be important to monitor as the government looks to enhance Hong Kong’s status as an international financial center. This includes facilitating cross-boundary renminbi transfers, promoting cross-border financial technologies and joining trade agreements such as the Regional Comprehensive Economic Partnership

BGA will continue to keep you updated on developments in Hong Kong as they occur. If you have any comments or questions, please contact BGA Senior Director Chi-Jia Tschang at chi-jia-tschang@bowergroupasia.com.