Hong Kong Faces Battle to Shore Up Its Role as Financial Hub After Security Law
- Western governments say new law will affect foreign confidence
- City’s financial markets have been battered by China slowdown
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Hong Kong just passed its local security law at record speed, placating Beijing and antagonizing Western governments. It now has the challenging task of bolstering the city’s position as an international finance center.
The city’s leader John Lee has repeatedly said a pressing need to focus on economic development was one of the reasons behind expediting the legislation. Since coming to power in 2022, Lee has prioritized national security, even at the cost of Hong Kong’s reputation as a freewheeling hub. While his administration has taken steps to boost overseas investment and stimulate spending, the city’s financial markets are in the doldrums and the economy is struggling.