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Hong Kong economy
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Coronavirus: Hong Kong companies on edge of collapse wonder how they will survive 2-month extension of social-distancing curbs

  • More small and medium-sized firms will be forced to close down as they have no hope of doing business, warns Hong Kong chamber chief
  • ‘Just like that, we’ve been asked to stop business for four months,’ reads one post on social media account of Tsim Sha Tsui beauty centre

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Restaurants have been ordered to limit the number of diners per table to two under the tougher social-distancing regime. Photo: Nora Tam
Denise Tsang,Rachel Yeo,Kathleen MagramoandTiffany Liang
Hong Kong businesses expressed anger over the government’s decision to extend stringent social-distancing measures until April, instead of the usual two weeks, in a bid to contain surging Covid-19 infections, warning the move will be the straw that breaks the camel’s back.
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Business chambers warned on Tuesday that the curbs, along with a lengthened ban on flights from nine countries, would not only deal a blow to the city’s reputation as a global financial centre, but also trigger a wave of shutdowns and lay-offs.

Speaking a day before the finance minister unveils his budget, they called on the government to fork out more aid, especially for small and medium-sized businesses (SMEs).

“It is really difficult for most retail and personal service businesses since the strict measures will have been in place for more than three months, which could result in more SMEs closing down over this period as they have no hope of doing business,” said George Leung Siu-kay, the CEO of the Hong Kong General Chamber of Commerce.

“We hope the government can extend more financial assistance to help those affected get through this very challenging time.”

Many SMEs were running out of resources after struggling for the past two years, warned Joe Chau from the Hong Kong General Chamber of Small and Medium Business. Photo: Sam Tsang
Many SMEs were running out of resources after struggling for the past two years, warned Joe Chau from the Hong Kong General Chamber of Small and Medium Business. Photo: Sam Tsang
Hong Kong leader Carrie Lam Cheng Yuet-ngor revealed on Tuesday a package of measures aiming at eradicating the pandemic, including mandatory mass testing for the city’s 7.4 million people.
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