London Daily

Focus on the big picture.
Thursday, Apr 23, 2026

Hong Kong is open to more economic support after launching its fourth stimulus package in four months, says official

The Hong Kong government on Wednesday evening announced an additional 4 billion Hong Kong dollars ($511 million) in economic stimulus, bringing the total boost to 25 billion Hong Kong dollars (about $3.2 billion).
It was the city’s fourth economic support package in last four months, much of which goes to help tourism, retail and transport.

Hong Kong, a former British colony that returned to Chinese rule in 1997, has seen widespread demonstrations since June, some of which have led to violent clashes between protesters and the police.

The Hong Kong government is keeping an open mind to additional measures that will help support the city’s economy, Edward Yau, the city’s secretary for commerce and economic development, said on Thursday.

“Hong Kong is of course hit doubly by a sort of twin cycle — U.S.-China trade war and also the local unrest; I think the enterprises are hard hit,” Yau told CNBC’s “Street Signs.”

Yau added that the Hong Kong government has been rolling out support measures for businesses even before the social unrest started this year to help enterprises cope with the fallout of the U.S.-China trade war.

“In addition to these, I think we are having an open mind and we will constantly talk to various trades and see how best we can soldier on and ride our storm,” Yau added.

The Hong Kong government on Wednesday announced an additional 4 billion Hong Kong dollars ($511 million) in economic stimulus, bringing the total relief offered to 25 billion Hong Kong dollars (about $3.2 billion).

It was the city’s fourth economic support package, much of which goes to help the tourism, retail and transport industries.

Hong Kong, a former British colony that returned to Chinese rule in 1997, has seen widespread demonstrations since June, some of which have led to violent clashes between protesters and the police. The protests were initially sparked by a proposed law that would have allowed extradition to mainland China, but the unrest later morphed into broader anti-government demonstrations that include demands such as greater democracy and universal suffrage.

In October, retail sales fell 24.3% from a year ago, according to preliminary Hong Kong government data. The city’s government said that slump is the worst on record.

Tourist arrivals slumped 43.7% in October from a year ago to 3.31 million, according to the Hong Kong Tourism Board. Mainland Chinese visitors fell 45.9% in October from a year ago.

The Asian financial hub slid into a recession for the first time in a decade in the third quarter, with the GDP contracting 2.9% in the July to September period from a year ago.

In response to questions about the Hong Kong Human Rights and Democracy Act that was signed into law by U.S. President Donald Trump last week, Yau said the city’s government doesn’t want trade and economic policies to be swayed by politics.

As a special administrative region of China, Hong Kong is governed under the “one country, two systems” principle. Under that structure, Hong Kong is given self-governing power, a largely separate legal and economic framework from China, and various freedoms including limited election rights.

Such a system underpins Hong Kong’s status as a global financial and business center, especially as a middleman between China and the world. The city’s autonomy from China is also a reason why the U.S. treats it differently from other Chinese cities. For example, elevated U.S. tariffs imposed on China in the trade war don’t apply to Hong Kong.

Losing that special treatment would damage the city’s economy, and its repercussions could potentially feed through the global financial system.

“We respect different countries may have their own policies toward others, but ... any trading relationship must be built on mutual interest,” Yau said, citing U.S. trade surplus with Hong Kong that is gained from the city’s open and free economy.

“There is every interest for Hong Kong to maintain our autonomy under the ‘one country, two systems,’ that is given in our constitution by the central government,” he added. “There is no reason why we should depart from that.”
Newsletter

Related Articles

0:00
0:00
Close
Crypto Scammers Capitalize on Maritime Chaos Near the Strait of Hormuz: A Rising Threat to Shipping Companies
Changi Airport: How Singapore Engineered the World’s Most Efficient Travel Experience
Power Dynamics: Apple’s Leadership Shakeup, Geopolitical Risks in the Strait of Hormuz, and Europe's Energy Strategy Amidst Global Challenges
Apple's Leadership Transition: Can New CEO John Ternus Navigate AI Challenges and Geopolitical Pressures?
Italy’s €100K Tax Gambit: Europe’s Soft Power Tax Haven
News Roundup
Microsoft lost 2.5 millions users (French government) to Linux
Privacy Problems in Microsoft Windows OS
News roundup
Péter András Magyar and the Strategic Reset of Hungary
Hungary After the Landslide — A Strategic Reset in Europe
Meghan Markle Plans Exclusive Women-Focused Retreat During Australia Visit
Starmer and Trump Hold Strategic Talks on Securing Strait of Hormuz Amid Rising Tensions
Unofficial Australia Visit by Prince Harry and Meghan Expected to Stir Tensions with Royal Circles
Pipeline Attack Cuts Significant Share of Saudi Arabia’s Oil Export Capacity
UK Stocks Rise on Ceasefire Momentum and Renewed Focus on Diplomacy
UK to Hold Further Strategic Talks on Strait of Hormuz Security
Starmer Voices Frustration as Global Tensions Drive Up UK Energy Costs
UK Students Voice Concern Over Proposal for Automatic Military Draft Registration
Rising Volatility Drives Uncertainty in UK Fuel and Petrol Prices
UK Moves to Deploy ‘Skyhammer’ Anti-Drone System to Strengthen Airspace Defense
New Analysis Explores UK Budget Mechanics in ‘Behind the Blue’ Feature
Man Arrested After Four Die in Channel Crossing Tragedy
UK Tightens Immigration Framework with New Sponsor Rules and Fee Increases
UK Foreign Secretary Highlights Impact of Intensified Strikes in Lebanon
UK Urges Inclusion of Lebanon in US-Iran Ceasefire Framework
UK Stocks Ease as Ceasefire Doubts in Middle East Weigh on Investor Confidence
UK Reassesses Cloud Strategy Amid Criticism Over Limited Support Measures
UK Calls for Full and Toll-Free Access Through Strait of Hormuz Amid Rising Tensions
Starmer Signals Strategic Shift for Britain Amid Escalating Iran-Linked Tensions
UK Issues Firm Warning to Russia Over Covert Underwater Military Activity
OpenAI Halts Stargate UK Project, Casting Uncertainty Over Britain’s AI Expansion Plans
Starmer Voices Frustration Over Global Pressures Driving UK Energy Costs Higher
UK Deploys Military Assets to Protect Undersea Cables From Suspected Russian Threat
Canada Aligns With US, UK and Australia as Europe Prepares Major Digital Border Overhaul
Meghan Markle’s Planned Australia Appearance Sparks Fresh Speculation
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
UK to Partner with Shipping Industry to Rebuild Confidence in Strait of Hormuz, Cooper Says
UK Interest Rate Expectations Ease Following US–Iran Ceasefire Agreement
Starmer Signals Major Effort Needed to Fully Reopen Strait of Hormuz During Gulf Visit
UK Fuel Prices Face Ongoing Volatility Amid Global Pressures and Domestic Factors
Kanye West’s Planned Italy Festival Appearance Draws Debate After UK Entry Ban
Smuggling Routes Shift Toward Belgium as Migrant Crossings to UK Evolve
Ceasefire Offers Potential Relief for UK Fuel and Food Prices Amid Ongoing Uncertainty
Iran Conflict Raises Questions Over UK’s Global Influence and Military Preparedness
Senator McConnell Visits Kentucky to Highlight Federal Investment in Local Projects
Kanye West Barred from Entering UK as Legal Grounds Come into Focus
UK Denies Visa to Kanye West After Sponsors Withdraw from Wireless Festival
Trump-Era Forest Service Restructuring Leads to Closure of UK Lab Focused on Kentucky Woodland Health
Foreign Students in the UK Describe Harsh Living Conditions and Financial Pressures
×