Editorial | Shake-up strengthens Hong Kong’s superconnector role
- Policies will make it easier for overseas companies to redomicile in Hong Kong, and for expatriate permanent residents to obtain five-year travel permits to mainland China
A slew of new policies from the central and Hong Kong governments aims not only to revive the national economy, but also to allow the city to play a key part in the endeavour.
Not merely ad hoc responses, together they show an overall coherence and competence that has been the hallmark of policymaking in Beijing.
The latest is a new legislative proposal for a streamlined regulatory regime to make it simple and easy for overseas companies to redomicile in the city.
It comes right after Beijing announced that expatriates – many of them business executives – with permanent residency in Hong Kong and Macau could now apply for a five-year travel permit, enabling them freely to enter the mainland.
Foreign companies, especially those in insurance and financial services, have a strong incentive to domicile in the city for easy access to the Greater Bay Area and beyond. They are expected to bring professional services, and new investment and job opportunities.
The draft law for redomicile will allow more time – up to 12 months instead of the current three months – for firms to submit financial statements before application dates and to retain their company names.
