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Opinion | A premium destination, Hong Kong should aim high to revive its tourism and economy
- The slow recovery of Hong Kong’s tourism, as Hongkongers themselves flock north, is a cautionary tale about reliance on easy money
- While Hong Kong cannot possibly compete with mainland cities on price, it must strengthen and highlight its unique high-end attractions
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Chief Executive John Lee Ka-chiu and his team deserve full credit for how swiftly and effectively the government mitigated the disastrous trails left by Typhoon Saola and the record-breaking “black” rainstorm that deluged Hong Kong for more than 16 hours.
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In a day or so, areas cut off from the rest of the city by flooding, landslides or fallen trees were rapidly unblocked, a feat unimaginable even in developed countries where emergency relief teams could take weeks to restore power and water, and remove debris left by the ravages of nature.
Having contended with extreme weather, the government faces a more embarrassing and endemic problem – the slow recovery of our tourism industry and our lagging behind the Greater Bay Area competition for local consumption dollars.
Since Hong Kong reopened to the mainland on February 6 and lifted the mask-wearing requirement on March 1, life has returned to normal. But even another round of consumption vouchers has failed to lift local consumption to pre-2019 levels. While weak property and stock markets are to blame, Hongkongers’ revenge travel is the main factor.
The strong Hong Kong dollar, which is pegged to the greenback, has boosted Hongkongers’ purchasing power outside the city. Japanese tourism statistics show that Hong Kong tourist spending in Japan reached 200 billion yen (US$1.35 billion) in the first half of the year, 16.4 per cent above 2019 levels. Also, after Taiwan reopened in February, 514,000 Hong Kong tourists visited the island, reaching 70 per cent of pre-pandemic levels.
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Japan’s Mt Fuji is in a ‘critical situation’ as tourist surge leads to growing pollution
Japan’s Mt Fuji is in a ‘critical situation’ as tourist surge leads to growing pollution
An even more worrisome trend is Hongkongers’s northbound travel fever, fed by the resumption of high-speed rail services and a new scheme, effective from July 1, that allows private cars to drive to Guangdong via the Hong Kong-Zhuhai-Macau Bridge.
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