Hong Kong S.A.R.

1
Hong Kong S.A.R.

• Hong Kong SAR

2
Land People

• 422 square miles
• Hong Kong Island
• Kowloon Peninsular
• New Territories
• Outlying islands
• 7 million residents
• 95 Chinese

3
Brief History

• HK Island was occupied by UK in 1841
• New Territories on 99-year lease in 1898
• Occupied by Japan during World War II
• Shanghai enterprises fled CCP forces in late
  1940s
• industrialization of Hong Kong
• One of the four Asian Tigers

4
Negotiations with UK

• Deng Xiaoping 1 country, 2 systems
• PRC Constitution of 1982 S.A.R.
• PRC UK Joint Declaration in 1984

5
Handover to PRC

• 7th National Peoples Congress adopted Basic Law
  of HKSAR in Beijing in 1990
• Became Hong Kong Special Administrative Region of
  PRC in July 1, 1997

6
Basic Law of Hong Kong SAR

• Stipulated in PRC-UK Joint Declaration in 1984
• Drafted by a committee with members from both
  Hong Kong and mainland
• Adopted by 7th NPC in Beijing in 1990
• Came into effect on July 1, 1997
• Constitutional document for HKSAR

7
3 Principles in the Basic Law

• One Country, Two Systems
• Capitalist system and way of life shall remain
  unchanged for 50 years (B.L. A5)
• High Degree of Autonomy
• Hong Kong People Running Hong Kong

8
One Country, Two Systems

• Legal system (British common law) shall be
  maintained, except for any law that contravene
  the Basic Law and subject to amendment by the
  legislature (B.L. A8)

9
High Degree of Autonomy

• HKSAR enjoys executive, legislative, and
  independent judicial power, including that of
  final adjudication (B.L. A2)

10
HK People Running HK

• executive authorities and legislature shall be
  composed of permanent residents of Hong Kong
  (B.L. A3)
• public servants must be permanent residents of
  Hong Kong, with some exceptions

11
Central Peoples Government

• responsible for defense and foreign affairs
  relating to HKSAR (B.L. A13-14)
• authorizes HKSAR to conduct relevant external
  affairs on its own (B.L. A13)
• HKSAR shall be responsible for the maintenance of
  public order
• 11 PRC laws apply to HK (B.L. A18)

12
Rights and Freedoms

• freedom of speech, of the press, of publication,
  of association, of assembly, of procession, of
  demonstration, of communication, of movement, of
  conscience, of religious belief, of marriage..
• the right and freedom to form and join trade
  unions, and to strike

13
3 Branches of Political Structure

• Chief Executive
• Carrie Lam (2017-)
• non-partisan
• Legislative Council
• Court of Final Appeal

14
S/election of CE Legco

• Shall be specified in the light of the actual
  situation in the HKSAR and in accordance with the
  principle of gradual and orderly progress (B.L.
  A45 A68)
• The ultimate aim is the election of the Chief
  Executive and all the members of the Legislative
  Council by universal suffrage (B.L. A45 A68)

15
S/election of Chief Executive

• 1,200-member Election Committee
• industrial, commercial, and financial sectors 1/4
• the professions 1/4
• labor, social services, religious, other 1/4
• Legco, HK deputies to NPC, etc. 1/4
• Carrie Lam (2017 - 2022)
• no more than two consecutive terms

16
S/election of Legislative Council
Elected by 1998 2000 2004 2008 2012 2016
5 geographical constituencies 20 24 30 30 35 35
29 functional constituencies 30 30 30 30 35 35
Election committee 10 6 0 0 0 0
Total 60 60 60 60 70 70
17
Since 1997

• Freedoms and rights substantially intact
• dissident groups
• Judicial system remains the same
• Weak executive and strong civil service
• Lack of political skills
• Multiple political parties
• Pro-establishment versus pro-democracy
• New localist groups

18
Hong Kongs Competitiveness

• Geographic location
• one of the best deep-water ports in the world

19
Worlds Freest Economy

• exports and imports each (over half a trillion
  US) greater than GDP
• GDP per capita (PPP) higher than in U.S.
• no VAT, sales tax, or capital gains tax
• only 3 types of income are taxed
• profits, salaries, and property
• but
• 30 live in public housing

20
Influence on Mainland China

• Main source of direct investment each way
• Hong Kong bodies of law and expertise
• Hong Kong attracts talents from mainland
• Hong Kong radios, TV, newspapers, magazines, and
  Internet on mainland