Annexes to JOIN(2023)30 - Hong Kong Annual Report for 2022 - Main contents
Please note
This page contains a limited version of this dossier in the EU Monitor.
| dossier | JOIN(2023)30 - Hong Kong Annual Report for 2022. |
|---|---|
| document | JOIN(2023)30 |
| date | August 18, 2023 |
On finance, Hong Kong is still one of the largest capital markets in the world and remained connected with the Chinese financial market.
Hong Kong remained the world’s third-largest investment destination for foreign direct investment in 2021 according to the World Investment Report 2022 by the United Nations Conference on Trade and Development (June)48. However, foreign companies scaled down their presence, and foreign and local talent left, mainly due to COVID-19 restrictions. As a result, the population had fallen by 121 500 – or 1.6% year-on-year (y-o-y) – as of June 2022 (95 000 due to a net outflow of residents, and 26 500 due to deaths surpassing births)49.
Hong Kong’s economy fell into recession in 2022. After growing by 6.3% in 2021, it contracted by 3.3% y-o-y50 in the first 9 months of 2022. The financial industry and the trade and logistics industry – which had performed well in 2021 – faced headwinds during the year. In addition, industries dependent on tourism continued to underperform due to the absence of tourists. Hong Kong’s economy has yet to return to its 2018 level (pre-pandemic and before the 2019 protests).
Inflation remained moderate, with an annual 1.9% increase in the consumer price index in the first 10 months of the year51.
The job market was stable. Unemployment peaked at 5.4% in April before gradually decreasing to 3.8% in October 2022 (closer to the 3.9% recorded at the start of the year)52. It was 4.5% on average in the first 10 months of 2022, an improvement when compared with 5.2% in 2021 but above the 3% range before the COVID-19 crisis.
The trade and logistics sector contracted. This sector accounts for about 20% of Hong Kong’s GDP and contributed to the economic recovery in 2021. GDP from the import and export industry fell by 6.9% y-o-y in the first half of 2022. This occurred as the value of Hong Kong’s external trade in goods dropped by 4.0% y-o-y to HKD 7.97 trillion (EUR 984 billion)53 in the first 10 months. The situation deteriorated during the year, and external trade dropped by 11.1% y-o‑y compared to the July to October period.
The financial industry (23% of Hong Kong’s GDP) – the main growth driver in the past years – slowed noticeably in the first half of 2022 and grew by only 0.8% y-o-y54.
The number of initial public offerings (IPOs) fell to 69 in the first 11 months from 83 in the same period in 2021, and the amount raised by IPOs dropped 70.6% y-o-y to HKD 87.8 billion (EUR 10.8 billion). In 2021, the city was the world’s fourth-largest hub for IPOs, after ranking second in 2020 and first in 2019.
Since the start of the year, the Hong Kong Hang Seng Index lost 15.8% of its value (as of 13 December), and market capitalisation on the Hong Kong Stock Exchange dropped by 21.4% to HKD 33.3 trillion (EUR 4.1 trillion). At the end of September 2022, Hong Kong was the world’s seventh-largest and Asia’s fourth-largest stock market by market capitalisation as well as the largest offshore renminbi business hub. Average daily market turnover was down by 27.7% y‑o‑y to HKD 124 billion (EUR 15.3 billion) in the first 11 months55.
The drop in market capitalisation and IPOs was due to a combination of global and regional headwinds. These included: (i) rising inflation and the tightening of monetary policies; (ii) the weakening of the global economy and geopolitical tensions; (iii) and worries over the Chinese economy and the ‘dynamic zero-COVID policy’, especially as mainland Chinese companies dominate Hong Kong’s stock market capitalisation.
Industries relying on tourist spending (retail, food and beverage, transport, travel, hospitality) were still underperforming because the relaxation of travel restrictions towards the end of the year did not lead to a significant increase in tourist flows. In the first 10 months of 2022, Hong Kong welcomed only 330 223 visitors56, less than 1% of the 65 million visitors in 2018 (78% of who were mainland Chinese, accounting for an estimated 40% of the city’s retail sales). In the first half of 2022, GDP from accommodation and food services industries and from wholesale and retail sales dropped by 16.7% and 7.1% y-o-y respectively. Their contribution to GDP accounted for only 46% and 41% of the level observed in the first half of 2018, respectively. In the first 10 months of 2022, retail sales decreased by 0.7% y-o-y to HKD 286.8 billion (EUR 35.4 billion). In the first 9 months, restaurant receipts fell by 9.2% y-o-y to HKD 61.3 billion (EUR 7.6 billion). Both were roughly 30% below the level recorded in 2018. The hotel room occupancy rate was 65% (vs 61% in 2021 and 91% in 2018) due to compulsory quarantining.
Similarly, the aviation industry and related industries faced a challenging environment. The number of flights at Hong Kong International Airport decreased by 5.3% y-o-y in the first 10 months to only 30% of the level observed in 2018. The number of passengers increased to 3 million (from 1 million in the first 10 months of 2021), but this was only 5% of the 61.8 million passengers recorded in 2018. Air cargo volume decreased by 14% y-o-y in the period to 84% of the 2018 level. Although the flight suspension mechanism was lifted later in 2022, restrictions in place for aircrew made it difficult to increase the number of flights.
The construction industry recorded a 5.3% increase in GDP in the first half of the year, but real estate activities dropped by 6.8% in the same period. Property prices and rents fell in the first 9 months, but Hong Kong remained one of the most expensive cities in the world57.
The Hong Kong Monetary Authority (HKMA) intervened several times to support the Hong Kong dollar amid rising interest rates in the US and the appreciation of the US dollar. The aim was to ensure that the currency’s exchange rate did not fall below the HKD 7.85 floor of the HKD 7.75-7.85 to USD 1 band under the SAR’s Linked Exchange Rate System. Throughout 2022, the HKMA increased Hong Kong’s base rate, from 0.50% at the start of the year to 4.25% (at the end of November). The HKMA also made use of the SAR’s foreign currency reserve assets, which decreased from USD 497 billion at the start of the year to USD 423 billion at the end of November.
Business environment
COVID-19 policies were the main concern of the business community during the year. Political developments also had a negative effect on business sentiment. These developments included risks to freedom of information, the implementation of the NSL, data privacy and sanctions.
The business community advocated for a roadmap to the full lifting of COVID-19 restrictions. The restrictions, including compulsory testing and the risk of quarantine if tested positive, remained an obstacle to bringing back talent and tourists. The partial reopening eroded Hong Kong’s competitiveness as a place for locating regional headquarters. The situation was exacerbated by the restrictions in mainland China (including quarantine requirements for arrivals from Hong Kong) that affected the role of Hong Kong as a business gateway. Despite the easing of quarantine measures in September, visitor arrivals in October were only 2.5% of their pre-COVID levels (October 2019), which hampered a full recovery.
An annual survey of foreign companies in Hong Kong58 indicated that, as of 1 June 2022, the number of foreign companies (excluding mainland Chinese companies) continued to decrease by 5.2% compared with June 2019 (pre-COVID levels) and by 1.5% compared with June 2021. The number of foreign regional headquarters dropped more noticeably (by 12.5% since June 2019 and 3.7% since June 2021). These numbers confirmed anecdotal evidence of companies reducing their activities or relocating to other cities. While the number of non-Chinese foreign companies dropped in the survey, the number of mainland Chinese companies in Hong Kong had increased by 17.5% since June 2019.
In the past 2 years, the local workforce shrank by 140 000 (as of October 2022)59 due to a combination of emigration and foreign employees leaving the city.
In his annual policy address on 19 October 2022, Chief Executive John Lee proposed policies to support and develop the economy. To continue developing Hong Kong as an innovation and technology (I&T) hub, John Lee announced the target of attracting HKD 10 billion (EUR 1.2 billion) of investment in I&T within 5 years. The SAR’s I&T infrastructure will be expanded, and HKD 10 billion (EUR 1.2 billion) will be allocated to support the commercialisation of research and development by Hong Kong universities. High value manufacturing will also be encouraged. Hong Kong’s position as a trading and logistics hub will be supported by focusing on high value-added maritime services and logistics, intermodal transportation and facilitating land and cross-boundary flows with the mainland. Operations at the airport, which saw the launch of a third runway during the year, will be streamlined. On Hong Kong’s competitiveness as a financial centre, measures announced included improving the southbound leg of the Bond Connect scheme60, strengthening Hong Kong’s role as the world largest Chinese yuan business hub, and supporting the insurance and asset and wealth management industries (including tax waivers for attracting more family offices to Hong Kong). Other priorities include developing Hong Kong as intellectual property and commercial arbitration centres.
The Northern Metropolis, a development zone that will include residential districts and an I&T centre, located on the boundary with mainland China will contribute to integrating Hong Kong with the city of Shenzhen and the Greater Bay Area (GBA). Infrastructure works for the Northern Metropolis have started. The new neighbourhood will include the first ‘double access zone’ between mainland China and Hong Kong. It will contribute to moving the city’s economic and administrative centre of gravity to the north, while the south side of the city will focus on tourism and leisure activities. Environmental organisations have noted that the development might affect nature reserves and wetland conservation parks that are important to mitigate the impact of climate change.
On green finance, Hong Kong issued additional green bonds during the year under the government green bond programme launched in 2018. The goal is to promote the local green bond market while advancing the city’s carbon-neutrality objective. In addition, the stock exchange launched a voluntary carbon-trading platform.
On 31 October, Hong Kong presented a strategy on virtual assets61, widely seen as a move towards a more favourable position on virtual assets and cryptocurrencies. A licencing regime for virtual asset service providers was put in place, retail transactions will be enabled, and virtual asset exchanges will be encouraged to establish a presence in Hong Kong.
Government support and the fiscal situation
Hong Kong was expected to record a fiscal deficit for the 2022-2023 financial year (ending in March 2023) due to increased spending and a weak economy. In the 2022-2023 budget, more than HKD 170 billion (EUR 21 billion) was budgeted for COVID-19 measures62, such as the construction of isolation facilities, efforts to control the pandemic, and financial support to residents and companies. The budget was announced with the expectation that the economy would grow by 2% to 3.5% in 2022 instead of the contraction that actually occurred.
In September, the Financial Secretary warned that the public deficit could reach HKD 100 billion (EUR 12.4 billion) for the whole financial year. This would be the third deficit in 4 years after deficits of HKD 17 billion in 2019-2020 and HKD 252 billion in 2020-2021 and a surplus of HKD 255 million in 2021-202263. This is unusual for an economy accustomed to fiscal surpluses (the deficit in 2019-2020 was the first one in 15 years).
The deficits were largely funded by tapping into Hong Kong’s large fiscal reserves. The fiscal reserves amounted to HKD 681 billion (EUR 84.1 billion) in October, a decrease of 16.5% y-o-y and 35.2% from HKD 1 trillion in October 2019. Reserves are equivalent to an estimated 12 months of expenditure, compared to 24 months before COVID-19.
Trade policy
The government announced in November the formal launch of negotiations of a free trade agreement (FTA) with Peru64. The first round of negotiations covered trade in goods, services, investment, electronic commerce, and small and medium-sized companies. In 2021, Peru was Hong Kong’s fifth-largest trading partner in goods in Latin America. Peru is also a member of the Pacific Alliance, with which Hong Kong has also been exploring the start of FTA discussions.
During the year, Hong Kong continued to seek accession to the Regional Comprehensive Economic Partnership through the support of its members.
So far, Hong Kong has signed eight FTAs. These are with mainland China (June 2003), New Zealand (March 2010), the Member States of the European Free Trade Association (June 2011), Chile (September 2012), Macao (October 2017), the Association of Southeast Asian Nations (November 2017, full entry into force in February 2021), Georgia (June 2018) and Australia (March 2019).
Economic integration within mainland China
In 2022, the impact of the pandemic continued to hamper the development of the GBA. According to the GBA outline development plan65 released by the State Council in 2019, 2022 was the first milestone for an optimised industrial structure and coordinated development, with a reasonable division of labour, and low-carbon production and a low-carbon lifestyle.
China’s national 14th five-year plan, released in March 2021, reiterated the objectives for the GBA and the role of Hong Kong. Hong Kong is to consolidate its role as an international financial centre and deepen mutual access between the financial markets of mainland China and Hong Kong. The five-year plan further mandated Hong Kong to develop itself as a centre for trade, I&T and transportation, including infrastructure connectivity with the GBA. International legal and dispute resolution services and intellectual property trading are also to be developed. The SAR is to facilitate bringing capital and talent to the GBA.
In June 2022, the Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone (in Shenzhen) announced nine Hong Kong-related facilitation measures covering areas such as youth innovation and entrepreneurship, technology development, financial services, legal services and medical services.
Other GAB measures in the Chief Executive’s policy address include: (1) strengthening support to Hong Kong companies expanding in the GBA; (2) improving intermodal transport integration and Hong Kong’s airport connectivity with the GBA (including direct transfer facilities); (3) encouraging the convergence of legal practices and mediation; and (4) using more Hong Kong registered drugs and medical devices in the GBA (under facilitation measures implemented in 2021).
Hong Kong is also seeking to allow insurance companies to provide insurance after-sales services in GBA cities. The aim is to provide support services to GBA residents holding Hong Kong insurance policies and develop mutual access to insurance markets.
III. Relations between Hong Kong and mainland China
General Secretary of the Communist Party of China and Chinese President Xi Jinping visited Hong Kong from 30 June to 1 July for the 25th anniversary of the handover. It was his first visit to Hong Kong since 2017 and his first outside mainland China since the outbreak of COVID-19 in 2020. Xi Jinping held the inaugural ceremony for the sixth-term government of Hong Kong and swore in Chief Executive John Lee.
On that occasion, Xi Jinping delivered a speech in which he asserted that the ‘one country, two systems’ principle served not just the fundamental interests of Hong Kong, but also of the whole country. He summarised the lessons of the past 25 years and underscored the importance of fully and faithfully implementing the ‘one country, two systems’ principle. This includes upholding the central government’s overall jurisdiction, securing Hong Kong’s high degree of autonomy, ensuring that Hong Kong is administered by patriots, and maintaining Hong Kong's distinctive status and advantages.
In addition, Xi Jinping put forward ‘four proposals’ for the new administration and society: improve governance, continue to create a strong impetus for growth, address people's concerns, and work together to safeguard harmony and stability. He met with members of the legislature, the judiciary, the private sector, and leaders from different sectors of society and inspected the garrison of the People’s Liberation Army.
In the weeks following Xi Jinping’s visit, government and pro-Beijing organisations organised seminars to study the 1 July speech. The Education Bureau distributed copies of the speech to schools and kindergartens.
Ahead of the Communist Party Congress, a number of personnel changes took place in central government agencies in charge of Hong Kong, including in the People’s Liberation Army Hong Kong Garrison.
Travel between Hong Kong and mainland China remained restricted. Chief Executive John Lee cancelled his first visit to Guangdong province. A visit by delegates of the National People’s Congress from Hong Kong to Xinjiang in August had to be delayed due to the pandemic.
The election of the Hong Kong delegates to the National People’s Congress Deputies took place on 15 December. The procedures for electing the delegates, adopted by the National People’s Congress in March 2022, restricted the electoral college to the Chinese members of the Election Committee.
In October, China recalled six officials from its consulate in the British city of Manchester after UK law enforcement authorities requested to waive their diplomatic immunity over an incident involving overseas Hong Kong protestors66.
During Chief Executive John Lee’s first visit to Beijing between 21 December and 24 December, President Xi Jinping and Premier Li Keqiang praised his work. John Lee also met with Li Qiang, the second highest official in the Chinese Communist Party.
Mainland China was Hong Kong’s largest trading partner in goods, accounting for 49% of Hong Kong’s total trade during the first 10 months of 2022. In turn, Hong Kong was an important trading hub for mainland China and ranked as China’s fifth-largest trading partner in the first 9 months of 2022.
Guangdong province remained a major outward-processing base for Hong Kong. The Closer Economic Partnership Arrangement with mainland China (2003) is Hong Kong’s most substantial trade agreement. There was no major amendment to the agreement in 2022. The value of goods re-exported through Hong Kong from and to mainland China accounted for about 90% of Hong Kong's total re-export trade value (2021).
Hong Kong remained mainland China’s key offshore financial centre and investment hub. At the end of 2021, mainland China was Hong Kong’s largest source of inward foreign direct investment (FDI), excluding offshore centres, and the first destination for Hong Kong’s outward FDI, accounting for 28% and 49% of total stocks respectively67. In turn, Hong Kong remained the leading destination for mainland China’s FDI and a leading source of FDI to the mainland – accounting for more than half of the total in each direction. There were 1 395 mainland companies listed in Hong Kong, accounting for 77% of the total market capitalisation.
Hong Kong and mainland China’s capital markets are connected via the Stock Connect scheme, linking the Hong Kong Stock Exchange with its counterparts in Shanghai and Shenzhen, and the Bond Connect mutual market access scheme for bond markets. This was complemented in September 2021 by the launch of a Wealth Management Connect scheme for the GBA. This makes it possible for eligible mainland Chinese, Hong Kong and Macao residents to invest in wealth management products distributed by banks in each other’s market.
Hong Kong strengthened its preferential mutual access with mainland China’s capital market. Exchange-traded funds (ETF) were included in the Stock Connect scheme, allowing international investors to buy eligible ETFs in the mainland and mainland investors to buy eligible ETFs in Hong Kong. A Swap Connect scheme was also announced68. It will facilitate mutual access between Hong Kong and mainland China’s interbank interest rate swap markets, providing an additional investment and risk management tool to investors in the mainland’s bond market. The northbound route will be launched first, and the southbound route could come at a later stage.
IV. EU-Hong Kong bilateral relations and cooperation
High-level visits from representatives of the EU institutions continued to be prevented by the COVID-19 travel restrictions. For the third year in a row, the annual EU-Hong Kong Structured Dialogue did not take place. The EU attaches importance to dialogue, both on issues of concern and areas of mutual interest.
The EU remained the largest foreign business community, ahead of Japan, the US and the UK. As of June 2022, at least 1 600 EU companies had set up business in Hong Kong. Many of them (857) were using the city as their regional headquarters. EU businesses were present in many sectors, including financial and business services, trading and logistics, retail, food and beverage, and construction. Based on the annual survey on foreign companies by the Hong Kong Census and Statistics Department69, the number of EU companies only fell slightly (-0.2%) from their pre-COVID level (June 2019) to 1 600 companies. This indicates that EU companies were more resilient to local developments than other foreign business communities (the total number of foreign companies decreased by 5.2% in the survey). However, EU companies that have cut or relocated some activities and/or staff but remain in Hong Kong are not reflected in these statistics.
In the first 9 months of 2022, bilateral trade in goods amounted to EUR 22.1 billion, which is flat (-0.03%) when compared with the same period in 2021. EU exports of goods to Hong Kong amounted to EUR 17.9 billion, while imports from Hong Kong totalled EUR 4.1 billion, resulting in a surplus of EUR 13.8 billion for the EU70. The EU was Hong Kong’s third-largest trading partner in goods in the first 10 months of 2022 after mainland China and Taiwan71. Hong Kong remained a major platform for trade between mainland China and the EU.
EU bilateral trade in services with Hong Kong grew by 25.1% y-o-y in 2021 to reach EUR 34.1 billion72. EU imports from Hong Kong amounted to EUR 12.3 billion, and EU exports to Hong Kong totalled EUR 21.8 billion (provisional data). This resulted in a EUR 9.5 billion trade surplus for the EU. Preliminary data for the first half of 2022 shows strong growth in bilateral trade in services with Hong Kong (+21.4% y-o-y to EUR 19.3 billion) and a trade surplus for the EU of EUR 4.7 billion73.
Two-way investment remained significant: according to the most recent data, investment stocks from Hong Kong into the EU amounted to EUR 162 billion, and investment from the EU into Hong Kong amounted to EUR 128 billion74.
The European Commission and Hong Kong authorities resolved several issues relating to the trade of food products. The transition to a new platform (TRACES NT) for the export of animal products from the EU was implemented.
Operational activities planned under the EU-Hong Kong Customs Cooperation and Mutual Administrative Assistance Agreement and the action plan on customs enforcement of intellectual property rights (IPR) were hampered by COVID-19 restrictions. Hong Kong remained the second-largest place of origin by value of IPR-infringing goods imported into the EU, even if these goods were not produced in the city. Meetings in Hong Kong with the leadership of the Customs and Excise Department did not take place in 2022.
On taxation, the Code of Conduct Group contacted jurisdictions that were identified as relevant in relation to their foreign sourced income exemptions (FSIE), including Hong Kong. As a result of the dialogue and the information provided, Hong Kong committed to reform its FSIE regime by the end of 2022 as it was found to be non-compliant. A bill was adopted on 14 December 2022 to reform Hong Kong’s tax with regard to the FSIE regime75. Work on implementing guidance is still ongoing.
The sixth annual TAIEX anti-trafficking event took place on 26-27 January 2022. The workshop consisted of two half-day online sessions, covering international trends under COVID-19, combating human trafficking involving forced marriage of ethnic minorities, anti-money laundering, financial investigations into human trafficking and helping victims of human trafficking. This was the second time that the event was held online. The turnout from the Hong Kong side was good, with around 70 participants from several government departments. Seven experts from the EU addressed the workshop.
A EU-Hong Kong Engagement Support Facility was launched to engage with Hong Kong. Public events were organised on tax reform (FSIE) and sustainability.
Due to COVID-19 restrictions, public diplomacy activities, such as Europe Day, could not be organised in the first half of the year. After restrictions eased, in-person activities resumed gradually.
The EU Office organised the EU Film Festival 2022, which featured a Ukrainian film. Other events included beach cleaning, the International Day Against Homophobia, Biphobia and Transphobia, a festival of documentary films, Speak Dating (an event promoting EU languages), the International Day for the elimination of violence against Women, and World Aids Day. The EU Office did not hold any public events on fundamental freedoms and human rights due to the environment created by the NSL.
The Council Conclusions of July 2020 on Hong Kong mandated the continued observation of the trials of pro-democracy activists. The EU Office and the EU Member States in Hong Kong conducted 71 trial observations in 2022.
1 Declaration by the High Representative on behalf of the European Union on the Chief Executive election held on 8 May, Council of the EU, 8 May 2022, available at: https://www.consilium.europa.eu/en/press/press-releases/2022/05/08/hong-kong-declaration-by-the-high-representative-on-behalf-of-the-european-union-on-the-chief-executive-election-held-on-8-may/
2 Tweet by the High Representative on the arrests of Cardinal Joseph Zen, Margaret Ng, Denise Ho and Hui Po-keung, 12 May 2022, available at: https://twitter.com/josepborrellf/status/1524463674278264834?s=21&t=waWDgBNVJ77GO5_t9QmZ-g.
3 Statement by the Spokesperson on civil and political rights, European External Action Service, 28 July 2022, available at: https://www.eeas.europa.eu/eeas/hong-kong-statement-spokesperson-civil-and-political-rights_en.
4 Tweet by the Spokesperson on the closure of Citizen News, European External Action Service, 4 January 2022, available at: https://twitter.com/nabilaeuspox/status/1478056509825327109?s=21.
5 Tweet on Hong Kong Watch as the first foreign organisation to receive a warning from the National Security Police, European External Action Service, 16 March 2022, available at: https://twitter.com/nabilaeuspox/status/1504029166622191616?s=21.
6 Tweet on the 25th anniversary of the establishment of the Hong Kong Special Administrative Region, European External Action Service, 1 July 2022, available at: https://twitter.com/NabilaEUspox/status/1542747257639952384.
7 Press release: Advance estimates on Gross Domestic Product for third quarter of 2021, 1 November 2021, Census and Statistics Department of the Hong Kong Special Administrative Region, available at: https://www.censtatd.gov.hk/en/press_release_detail.html?id=4917.
8 Press release: Mid-year population for 2022, 11 August 2022, Census and Statistics Department of the Hong Kong Special Administrative Region, available at: https://www.censtatd.gov.hk/en/press_release_detail.html?id=5078.
9 France was the only EU Member State affected by this measure.
10 https://www.info.gov.hk/gia/general/202302/14/P2023021400644.htm
11 https://www.rfa.org/cantonese/news/htm/hk-relative-11222022024155.html
12 https://www.thestandard.com.hk/breaking-news/section/4/195744/School-suspends-14-students-for-%E2%80%98disrespectful-behavior%E2%80%99-during-national-anthem-and-flag-raising-ceremony
13 https://hongkongfp.com/2022/06/14/hong-kong-watchdog-told-14-social-media-sites-to-remove-3900-doxxing-items-in-8-months/
14 Hong Kong’s Magistrate’s Ordinance bans reporting on committal proceedings, but the ban can be lifted by the magistrate upon request by the accused.
15 http://www.news.cn/2022-12/30/c_1129245755.htm
16 https://legalref.judiciary.hk/doc/judg/html/vetted/other/ch/2021/DCCC000349_2021_files/DCCC000349_2021ES.htm
17 https://legalref.judiciary.hk/doc/judg/html/vetted/other/ch/2021/DCCC000349A_2021_files/DCCC000349A_2021ES.htm
18 https://www.vaticannews.va/en/pope/news/2022-05/cardinal-zen-arrested-in-hong-kong-holy-see-expresses-concern.html
19 https://www.thestandard.com.hk/breaking-news/section/4/195125/HK$70m-confiscated-from-fundraising-platform-for-HK-protesters
20 https://www.ohchr.org/en/press-briefing-notes/2022/10/alarm-sentencing-under-national-security-law
21 https://www.ohchr.org/en/statements/2022/05/statement-un-high-commissioner-human-rights-michelle-bachelet-after-official
22 https://www.legco.gov.hk/en/legco-business/committees/financial-proposals-results.html?2022&20220708
23 https://hklabourrights.org/advocacy/hong-kong-trade-union-movement-under-the-national-security-law-two-years-into-the-authoritarian-rule/
24 https://hongkongfp.com/2022/09/24/shrinking-news-industry-hong-kong-press-freedom-index-sinks-to-new-low-as-media-outlets-disappear/
25 https://rsf.org/en/country/hong-kong
26 https://www.rfa.org/english/news/china/hongkong-media-03182022083215.html
27 https://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=148078&QS=%2B%7C%28CACV356%2F2022%29&TP=JU
28 https://www.brandhk.gov.hk/en/media-centre#clarifications
29 https://hk.usconsulate.gov/n-2022020801/
30 https://www.thestandard.com.hk/section-news/section/4/244475/Four-civil-servants-held-for-social-media-'sedition'
31 https://www.scmp.com/news/hong-kong/law-and-crime/article/3183395/taiwanese-drinks-shop-owners-jailed-7-months-over
32 https://legalref.judiciary.hk/doc/judg/html/vetted/other/ch/2022/DCCC000354A_2022_files/DCCC000354A_2022ES.htm
33 https://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=147148&QS=%2B%7C%28DCCC854%2F2021%29&TP=RS
34 https://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=147148&QS=%2B%7C%28DCCC854%2F2021%29&TP=RS
35 https://www.hrw.org/news/2022/09/07/hong-kong-childrens-book-authors-convicted-0
36 https://hongkongfp.com/2022/12/22/hong-kong-court-rejects-bid-by-former-stand-news-editors-to-terminate-trial/
37 https://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=146704&QS=%2B%7C%28CACV557%2F2020%29&TP=JU
38 https://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=148605&QS=%2B%7C%28CACV557%2F2020%29&TP=JU
39 https://legalref.judiciary.hk/lrs/common/search/search_result_detail_frame.jsp?DIS=144139&QS=%2B%7C%28CACV183%2F2019%29&TP=JU
40 https://legalref.judiciary.hk/lrs/common/ju/ju_frame.jsp?DIS=142010&currpage=T
41 https://www.scmp.com/news/hong-kong/society/article/3185931/hong-kong-teen-challenging-school-policy-long-hair-boys
42 https://theinitium.com/article/20220225-hongkong-domestic-workers-who-caught-the-covid19-virus/
43 https://www.scmp.com/yp/discover/news/hong-kong/article/3177657/no-home-away-home-domestic-workers-terminated-after
44 https://www.info.gov.hk/gia/general/202209/30/P2022093000326.htm?fontSize=1
45 https://www.scmp.com/news/hong-kong/law-and-crime/article/3202303/new-get-tough-policy-refugee-appeals-against-deportation-orders-comes-force-hong-kong
46 World Trade Statistical Review 2022, World Trade Organization, https://www.wto.org/english/res_e/publications_e/wtsr_2022_e.htm.
47 World Investment Report 2022, United Nations Conference on Trade and Development, https://unctad.org/publication/world-investment-report-2022.
48 World Investment Report 2022 monitoring global and regional investment trends and national and international policy development, United Nations Conference on Trade and Development, 9 June 2022, available at: https://unctad.org/webflyer/world-investment-report-2022.
49 Press release: Mid-year population for 2022, 11 August 2022, Census and Statistics Department of the Hong Kong Special Administrative Region, available at: https://www.censtatd.gov.hk/en/press_release_detail.html?id=5078.
50 Advance estimates on Gross Domestic Product for third quarter of 2022, November 2022, Census and Statistics Department of the Hong Kong Special Administrative Region.
51 Census and Statistics Department of the Hong Kong Special Administrative Region, https://www.censtatd.gov.hk/en/scode270.html#section3.
52 Census and Statistics Department of the Hong Kong Special Administrative Region, https://www.censtatd.gov.hk/en/scode200.html#section3.
53 Exchange rate from December 2022 of 1 EUR = HKD 8.0965.
54 Chain volume measures of GDP by economic activity - in chained (2019) dollars, Census and Statistics Department of the Hong Kong Special Administrative Region, https://www.censtatd.gov.hk/en/web_table.html?id=310-34501.
55 IMF report. Detailed Assessment of Observance on Principles for Financial market Infrastructures for the People’s Republic of China–Hong Kong Special Administrative Region, Country Report No. 21/122, 15 June 2021, available at: https://www.imf.org/en/Publications/CR/Issues/2021/06/15/Peoples-Republic-of-ChinaHong-Kong-Special-Administrative-Region-Financial-Sector-460761.
56 Visitor arrivals to Hong Kong, Hong Kong Tourism Board, available at: https://partnernet.hktb.com/en/research_statistics/latest_statistics/index.html.
57 According to the Worldwide Cost of Living 2022 study by The Economist available at: https://www.economist.com/graphic-detail/2022/11/30/the-worlds-most-and-least-expensive-cities.
58 Report on 2022 Annual Survey of Companies in Hong Kong with Parent Companies Located outside Hong Kong, Census and Statistics Department of the Hong Kong Special Administrative Region, https://www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1110004&scode=360.
59 The Chief Executive’s 2022 Policy Address, October 2022, available at: https://www.policyaddress.gov.hk/2022/en/policy.html.
60 The ‘Bond Connect’ (as some other connect schemes) allows investors to trade in mainland China bond market via Hong Kong (northbound) and mainland China investors to trade in Hong Kong (southbound).
61 Policy statement: Development of Virtual Assets in Hong Kong, Financial Services and The Treasury Bureau, The Government of the Hong Kong Special Administrative Region, available at: https://www.info.gov.hk/gia/general/202210/31/P2022103000454.htm.
62 2022-2023 Budget, Speech by the Financial Secretary, the Hon Paul MP Chan, https://www.budget.gov.hk/2022/eng/index.html
63 Monthly Financial Results, The Treasury, The Government of the Hong Kong Special Administrative Region, available at
https://www.try.gov.hk/internet/ehpubl_acco_monfinancial.html.
64 Press release of the Government of the Hong Kong Special Administrative Region, available at: https://www.info.gov.hk/gia/general/202211/16/P2022111600587.htm?fontSize=1.
65 Outline Development Plan for the Guangdong-Hong Kong-Macao Greater Bay Area (Courtesy Translation), available at: https://www.bayarea.gov.hk/en/outline/plan.html.
66 https://www.thestandard.com.hk/section-news/section/47096428/248254/UK-row-ends-as-China-recalls-diplomats.
67 Statistical report on External Direct Investment Statistics of Hong Kong (2021 Edition), 9 December 2022: available at: https://www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1040003&scode=260.
68 Joint Announcement of the People’s Bank of China, the Hong Kong Securities and Futures Commission and the Hong Kong Monetary Authority, available at: https://www.hkma.gov.hk/eng/news-and-media/press-releases/2022/07/20220704-3.
69 Report on 2022 Annual Survey of Companies in Hong Kong with Parent Companies Located outside Hong Kong, Census and Statistics Department of Hong Kong Special Administrative Region, available at: .https://www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1110004&scode=360.
70 Eurostat: European Union trade in goods, http://epp.eurostat.ec.europa.eu/newxtweb/mainxtnet.do.
71 Statistical report on Hong Kong External Merchandise Trade (October 2022), 6 December 2022, available at: https://www.censtatd.gov.hk/en/EIndexbySubject.html?pcode=B1020005&scode=230.
72 Eurostat: European Union trade in services - annual data (provisional), https://ec.europa.eu/eurostat/databrowser/view/bop_its6_det/default/table?lang=en.
73 Eurostat: European Union and euro area balance of payments – quarterly data, https://ec.europa.eu/eurostat/databrowser/view/BOP_EU6_Q__custom_457552/default/table.
74 Eurostat : European Union foreign investment statistics, https://ec.europa.eu/eurostat/databrowser/view/bop_fdi6_geo/default/table?lang=en.
75 https://www.info.gov.hk/gia/general/202212/14/P2022121400286.htm.
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