Beijing’s top man on Hong Kong affairs has said the city is facing profound shifts in its internal and external environments, which its leadership ought to recognise and respond to and spark changes to “achieve better development through reform.”
Xia Baolong, director of the State Council’s Hong Kong and Macau Affairs Office, conveyed the message to Financial Secretary Paul Chan Mo-po on Tuesday in Beijing, just days after a key policy meeting held by the country’s ruling elite ended last week.
As he spelled out the challenges ahead, Xia urged all sectors in Hong Kong to be proactive and determined in transforming the economy by being singularly focused on doing whatever it took to ensure the financial hub’s “golden brand” continued to shine.
Chan is the first Hong Kong government official to have met Xia after the Chinese Communist Party’s 20th Central Committee held its third plenum last week, a conclave to decide the country’s economic road map for the medium term.
Xia said: “It is hoped that the Hong Kong government and all sectors of society will deeply grasp and appreciate the spirit of the third plenum and seize the opportunities, be determined to reform and take the initiative to accelerate Hong Kong’s reform and development.”
He added the central government would support Hong Kong fully in consolidating and upgrading its advantages as global hubs of financial services, shipping, trade and top talent.
In addition, Hong Kong will deepen cooperation with the Greater Bay Area, as well as play a better role in facilitating the country’s opening up to the world, he said.
“We must implement the spirit of the third plenum with solid work, cope with the tasks one by one and constantly police Hong Kong’s golden brands,” Xia said.
The bay area is Beijing’s plan to link Hong Kong, Macau and nine other southern Chinese cities into an economic powerhouse.
He also “fully reaffirmed” the efforts and achievements of the financial secretary and his team in promoting the city’s economic development, maintaining financial stability and improving people’s livelihoods.
During the third plenary meeting, the party adopted a resolution to further deepen reform towards promoting high-quality development to build China into a modern socialist country.
Lau Siu-kai, a consultant at the Chinese Association of Hong Kong and Macau Studies, a semi-official think tank, said the Xia-Chan meeting meant the state leader was asking the Hong Kong government to echo the spirit of the third plenum and take a courageous and innovative approach in promoting reforms.
“The timing of the Xia meeting may be a coincidence, which does not necessarily mean he requires the Hong Kong government to prioritise financial and economic issues as the No 1 task,” he said. “But further expanding the city’s status as a global financial centre and pressing ahead with the renminbi’s internationalisation are key tasks of the government.”
As a global financial hub, Hong Kong also should provide more financial services to countries along the Belt and Road Initiative, he said, referring to Beijing’s ambitious scheme to link dozens of economies in Asia, Europe and Africa into a China-centred trade network.
Hong Kong must also do a good job in institutional work to mitigate and respond to financial risks under pressure from the West, he added.
