Why is Beijing prodding Hong Kong developers to go for reforms and megaprojects?
Experts say meeting between Beijing’s point man on Hong Kong affairs and private sector leaders represents ‘explicit’ call to action
Beijing is worried that Hong Kong developers’ tepid response to local megaprojects may further erode investor confidence and this was why a top central government official took on the task of cajoling the private sector on behalf of city authorities, political analysts have said.
Economic and property specialists said the central government’s “explicit” call to the local private sector was a rare approach as they expressed scepticism over whether developers would heed the advice and risk potential financial losses.
As businessmen, their prime consideration is profit and being accountable to shareholders, but as patriots, they also have to oblige or risk incurring Beijing’s displeasure, some have said, arguing this could skew free-market principles on which the city’s economy is based.
But the message from Xia Baolong, director of the Hong Kong and Macau Affairs Office, was not just about megaprojects but a direct appeal for tycoons and businessmen to be more committed to the city’s longer-term vision and to embrace reforms, others said.
During a full-day meeting in Shenzhen with about 30 representatives from real estate developers, commerce chambers, tech firms and state-owned enterprises operating in the city, Xia had appealed for “concrete” action and for them to “recognise their responsibilities”.
In his full remarks published by the office on Sunday, he urged them to go beyond their traditional advantages and not to rely only on the same old ways to succeed.
