Clarence Ling says a united society and more opportunities point to a brighter future
For Hong Kong, having gone through the double whammy of social chaos in 2019 and COVID-19, stability is more important than ever.
As the fourth generation of a typical local family, I devoted all my life to this land. As a startup co-founder, I also spared no effort in helping the local culture and lifestyle on my e-commerce platform. However, I had to face endless anonymous cyberbullying everyday during the chaos because I didn’t stand with the violence, and instead, I spoke out for rational discussion under social discipline. As a result, I had to withdraw from my business to protect my family and business partners from being targeted.
In 2019, I suffered with the city that I love, and it is important to offer a perspective of what our belief in Hong Kong is, on a factual basis.
Hong Kong, a city bridging its motherland to and for the international market, has been operating under the “one country, two systems” principle since 1997. Under this principle, the city’s prosperity has continued to be safeguarded by its world-leading institutional environment, market efficiency and social stability.
In 2019, such a foundation and the core value of Hong Kong were threatened by months of violent protests. The alleged freedom-veiling radical acts were in factat the expense of social order and created immense business interruptions and uncertainty. To end the social chaos, which conflicted the spirit of the rule of law, the National Security Law for Hong Kong was legislated in 2020.
After one year of implementation, the bounce of economic indicators self-explains the necessity and the effort of the National Security Law, which has enabled Hong Kong to enhance its global competitiveness, maintaining its status as one of the most autonomous markets in the world.
After one year of implementation, the bounce of economic indicators self-explains the necessity and the effort of the NSL, which has enabled Hong Kong to enhance its global competitiveness, maintaining its status as one of the most autonomous markets in the world.
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The only thing that has changed is a more-diversified blueprint and a refreshing political environment under the new electoral arrangements.
The key indicators used in the World Economic Forum Yearly Global Competitiveness Report —namely, the institutional environment, efficiency enhancers and innovation — would offer a better perspective for all.
First and foremost, the institutional environment in Hong Kong remained unchanged and continued to be the unalterable cornerstone for all market stakeholders.
Could we ever imagine bodily harm, exposing personal information, and damaging private propertyhappening in an international city ruled by law?
I believe such radical acts are also unacceptable under any form of governance. Without prejudice to the independent judiciary, the NSL was introduced to prevent, curb and punish such widespread violence and malicious activities endangering both public and national security.
Early this year, the Hong Kong Bar Association made the following statements:
“Hong Kong’s legal system is as good as it’s ever been.” And it emphasized that Hong Kong has been a place where one has the best chance for a fair trial, and generally speaking, that has not changed.
This statement endorsed the irrefutable fact that a proper legal system will continue to serve and benefit all Hong Kong residentsfor life and property, basic rights and freedom.
Secondly, the efficacy of government and market remained unchanged.
According to the World Competitiveness Yearbook 2021, Hong Kong ranked top in government efficiency and remained among the world’s top three positions in tax policy, business legislation and management practices.
Anyone who wishes to start a business in the city could finish the registration process within 24 hours, and the applicable corporate tax rate could be as low as 8.25 percent on assessable profits of up to HK$2 million ($257,000). Amid such a favorable business environment, a total of 99,405 local companies were newly registered in 2020.
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As of August, Hong Kong’s economy grew 7.6 percent in the second quarter from a year earlier. The amount of IPO funds raised in Hong Kong over the past year has exceeded $500 billion, representing an increase of more than 50 percent over the previous 12 months. The average daily turnover of Hong Kong stocks has also reached $160 billion, nearly 70 percent higher than the situation before the implementation of the NSL.
Hong Kong remains as the dreamland for all business owners.
In addition, the national 14th Five-Year Plan (2021-25) offered brand new opportunities.
Hong Kong is now ready to step up as an international innovation center, underpinned by the national development strategy. The 14th Five-Year Plan encouraged Hong Kong to leverage its access to domestic resources for its innovation sector and embrace a positive attitude in striving for further development amid the headwinds, opening up opportunities, especially for young people who are interested in technology.
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In this month, the central government also announced two ambitious plans related to the Guangdong-Hong Kong-Macao Greater Bay Area: a major expansion of the Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone;and the Guangdong-Macao In-Depth Cooperation Zone in Hengqin.
Both have been receiving magnificent responses from the business communities in Hong Kong and Macao, as the young entrepreneurs and professionals are actively seeking growth opportunities in the mainland.
Aiming at helping Hong Kong youth to start their businesses by providing them related information and necessary assistance, we at the Y.Elites Association launched the Innovative.Elite@Qianhai program. We hope to select and incubate young people with outstanding startup ideas and provide them with startup seed funds and incubation services to realize their entrepreneurial dreams.
Over the past years, our lives and some of the business models had been changed drastically. However, unchanged are the exceptional business environment and our belief in Hong Kong.
Sept 19 marked a very important day for all of us in Hong Kong, which was the first election after the electoral reform. It is also a very important step to let more local groups and industries’ voices be heard, bringing the whole society back together after being hit hard in the 2019 social chaos.
I firmly believe that with a united society and more-diversified opportunities for all investors from domestic and abroad, together we can bring Hong Kong forward into a brighter future!
The author is chairman of the Y.Elites Association, and a national committee member of the All-China Youth Federation and committee member of Zhongshan Committee, CPPCC.