A time of Chinese ascendancy: One of the world's fastest growing economies for decades; World's largest population and therefore largest impact on the planet; In the eyes of the West, Hong Kong's transition is a test for China.

1. HONG KONG INTRANSITION
YOUNG LEADERS PROGRAMME

2. “A barren rock with nary a house upon it.
It will never be a mart for trade.”
Lord Palmerston
British Foreign Secretary, 1841
FROM FISHINGVILLAGE…

3. “The drama, the charm and the beauty of Hong
Kong is all here-just as is its breathless energy.”
Nury Vittachi
Hong Kong based journalist and author, 2006
…TO GLOBAL METROPOLIS

4. 1997 2017
One Country, Two Systems… Many Transitions
REUNIFICATIONWITH CHINA

5. • One of the world’s fastest growing economies in
80s, & 90s
• Largest population and therefore largest
potential impact on the planet
• With economic growth has come more political
and military clout, and all eyes are on China
• Foreign governments and business all want to
have sound relations with Beijing
• In the eyes of the West, Hong Kong’s transition
is a test for China
Walking a tightrope between growth and political reform
Shanghai 1990
Shanghai 2015
ATATIME OF CHINESE ASCENDANCY

6. • Relocation of manufacturing operations to
China and the development of supporting
services in Hong Kong
• We receive almost 60% of China’s overseas
direct investment
• We rely on the mainland for over 90% of
our fresh meat and vegetables
• Mainland energy sources generate half the
electricity consumed in the city
• And 70-80% of our fresh water comes from
the Dongjiang river
A bittersweet reality
REUNIFICATION HAS BROUGHT UPSIDES
HK$12,000
The average amount of money mainland
tourists spend in the city per visit

7. • Competition for trade and investment
from cities like Shanghai & Shenzhen
• Competition for jobs from mainland
Chinese graduates
• Population increase has put a strain on
public services and infrastructure
• Overcrowding in a city already one of the
most densely populated in the world
• Rising property prices making it almost
impossible for average Hong Konger to
purchase an apartment
The hard work of policy making
… AND CHALLENGES

8. LONG-HELD PRIVILEGES ARE BEING ERODED
Finance Logistics
Hong Kong Hong Kong
Shanghai Guangzhou

9. Textiles Agriculture
Light industry
MANY LOCAL INDUSTRIES HAVE BEEN HOLLOWED OUT
Manufacturing

10. China’s World City? Or…
IS HONG KONG STILLTHE GATEWAYTO CHINA?

11. • Radical housing reform is needed to address
property crisis
• A more diversified economy = increased
employment opportunities for local youth
• Equip the next generation to be competitive
global citizens
• Deal with the immigration and population
challenge
• New tourism, energy and water policies to be
more self-sufficient
• Better resource management is crucial
Hong Kong needs policy compromises and able mediators
HONG KONG MUSTADJUSTTO NEW REALITIES

12. The age of entitlement is over
IS OUR EDUCATION SYSTEM UPTOTHE CHALLENGE?
• Hong Kong education must provide
students with a wider world view
• Core skills for development: Knowledge;
Communication; Empathy
• Changes are needed if our youth are to
compete with students from Singapore,
China, and ASEAN
• There is much more to education than
standardised testing and extra-curricular
classes: sport, art, cultural exchange, etc

13. WHAT DOESTHE 21ST CENTURY HOLD FOR HONG KONG?