London Daily

Focus on the big picture.
Wednesday, Jul 30, 2025

Reopen Hong Kong borders to the world? Yes, but no rushing it, says Paul Chan

Reopen Hong Kong borders to the world? Yes, but no rushing it, says Paul Chan

Restoring global travel is vital to Hong Kong’s financial hub status, but cautious approach required, financial secretary says. City confirms three new imported Covid-19 cases on Sunday, all involving mutant strains.

Hong Kong is keen to reopen its borders not just with mainland China but also the world, although the process cannot be rushed during the Covid-19 pandemic, according to Financial Secretary Paul Chan Mo-po.

The city’s pandemic-stricken economy has done so well through the first half of this year that Chan is looking at upgrading his forecast of 3.5 per cent to 5.5 per cent growth for the full year.

The rebound has stirred talk that Hong Kong should move to reopen its borders to the world, and not only with mainland China as Chief Executive Carrie Lam Cheng Yuet-ngor seems most focused on achieving.

In a wide-ranging interview with the Post on Wednesday, Chan acknowledged that reopening to countries was as important as doing so with the mainland, but said the process could not be rushed given the pandemic.

While restoring global travel was crucial to the city’s position as an international financial centre and aviation hub, authorities must remain cautious, he warned.

“Reopening our border with the mainland is very important. We are working on it,” Chan said. “At the same time, we are also working to restart … on a very cautious basis, travel between Hong Kong and the international community because it is important for us as an international city.”

But moving ahead was no straightforward matter.

“To fight the pandemic, we have the public health consideration, economic consideration, the [need for] people to return to normal life. There is always a tug of war trying to balance these three,” Chan said.

Hong Kong has remained in a near lockdown for about 17 months, with international travel at a standstill and tourism paralysed by the pandemic.

Lam has stuck with a “zero infections” target in Hong Kong’s fight against Covid-19 and made clear her priority is to reopen borders with the mainland.

Hong Kong has confirmed 50 infections so far this month, 48 of which were classified as imported or related to imported cases. It has so far recorded 11,978 confirmed cases and 212 related deaths.

The three cases confirmed on Sunday were all imported and involved the L452R mutant strain, with the carriers not showing any symptoms.

A 31-year-old woman who visited Spain, Greece, Italy and Switzerland between July 2 and 20 was among the trio. Also infected were two male sea crew – a 38-year-old arriving from Tanzania and a 35-year-old from Russia.

Travellers cross to Shenzhen at the Lo Wu control point on the Hong Kong side back in February last year.


Earlier last week, a plan to ease an entry ban on stranded students and workers from extremely high-risk areas such as Britain and the Philippines was abruptly put on hold, with the U-turn believed to be related to ongoing negotiations with mainland officials on cross-border travel.

Beijing does not want Hong Kong to become a weak link in its tight national defences against Covid-19, which could happen if each side maintains different restrictions on overseas arrivals.

For now, only three border crossings are open. Residents returning from some parts of the country via the Return2hk scheme are exempted from the city’s 14-day compulsory quarantine, while those heading to the mainland are subject to quarantine requirements there.

Chan said it remained uncertain when curbs on cross-border travel would be eased.

Financial Secretary Paul Chan.


Hong Kong’s business sector has complained bitterly about its executives being unable to travel freely to run operations on the mainland, the city’s largest trade partner and source of visitors.

He expressed sympathy, but said that for now, businesses must further tap technology to cope.

“Before the border can be reopened, businesses need to adopt more technology, act faster in terms of digitalisation and may have to rethink the way they conduct their business,” Chan said.

“Even those with cross-border business may need to split their staff into teams for travel to the mainland. Unlike in the past when they made frequent short trips, they now may have to make longer trips, by rotation.”

Chan said Hong Kong’s economic prospects hinged on its pandemic-control status and how soon international and mainland travellers could return.

The economy had shown signs of recovery since the beginning of the year and the momentum had continued into the second quarter, which recorded strong growth, he said.

The minister hoped economic expansion would exceed the forecast of 3.5 per cent to 5.5 per cent he made in his budget address in February. Any decision to upgrade the forecast would be announced in the middle of next month, he said.

Hong Kong swung from its worst recession on record to its fastest economic growth in more than a decade in the January to March period, hitting 7.9 per cent compared with the first quarter of last year.

In the near term, gross domestic product would be boosted by the government’s HK$5,000 (US$643) consumption voucher scheme.

A total of 7.2 million Hong Kong permanent residents and recent migrants from the mainland are eligible for these vouchers to spend in shopping centres and restaurants, among others. At least 88 per cent had registered for the programme and would receive their first batch of e-vouchers beginning at the start of next month.

“The consumption vouchers will give GDP growth an additional momentum,” Chan said.

There have been other positive economic signs this year. Monthly exports have grown at a double-digit pace since December, while the unemployment rate eased to 5.5 per cent in the three months to June 30 – a level not seen for more than a year.

But Chan warned it was still too soon to celebrate, saying: “I see the unemployment rate coming down, but it is too early to be relieved because people in the hardest hit sectors are still finding it very difficult.”

For example, he said, while restaurants have fared better this year, the retail and tourism related sectors were still struggling. “The improvement is not even,” Chan said.

For the April to June quarter, the unemployment rate in the food and beverage industry eased 1.3 percentage points to 10 per cent, while in retail it improved by 1.4 points to 7.5 per cent, and in construction, by 1.4 percentage points to 8.9 per cent.

OCBC Wing Hang Bank economist Carie Li Ruofan said Hong Kong’s overall economic recovery hinged on the restoration of cross-border travel.

“Tourism related industries like retail and aviation are still in deep water,” she said, estimating GDP would grow between 5.5 per cent and 6 per cent this year.

Newsletter

Related Articles

0:00
0:00
Close
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Procter & Gamble to Raise U.S. Prices to Offset One‑Billion‑Dollar Tariff Cost
House Republicans Move to Defund OECD Over Global Tax Dispute
Botswana Seeks Controlling Stake in De Beers as Anglo American Prepares Exit
Trump Administration Proposes Repeal of Obama‑Era Endangerment Finding, Dismantling Regulatory Basis for CO₂ Emissions Limits
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
A family has been arrested in the UK for displaying the British flag
Mel Gibson refuses to work with Robert De Niro, saying, "Keep that woke clown away from me."
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
The British propaganda channel BBC News lies again.
Deputy attorney general's second day of meeting with Ghislaine Maxwell has concluded
Controversial March in Switzerland Features Men Dressed in Nazi Uniforms
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
Thai Civilian Death Toll Rises to 12 in Cambodian Cross-Border Attacks
TSUNAMI: Trump Just Crossed the Rubicon—And There’s No Turning Back
Over 120 Criminal Cases Dismissed in Boston Amid Public Defender Shortage
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
The Podcaster Who Accidentally Revealed He Earns Over $10 Million a Year
Trump Announces $550 Billion Japanese Investment and New Trade Agreements with Indonesia and the Philippines
US Treasury Secretary Calls for Institutional Review of Federal Reserve Amid AI‑Driven Growth Expectations
UK Government Considers Dropping Demand for Apple Encryption Backdoor
Severe Flooding in South Korea Claims Lives Amid Ongoing Rescue Operations
Japanese Man Discovers Family Connection Through DNA Testing After Decades of Separation
Russia Signals Openness to Ukraine Peace Talks Amid Escalating Drone Warfare
Switzerland Implements Ban on Mammography Screening
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
Pogacar Extends Dominance with Stage Fifteen Triumph at Tour de France
CEO Resigns Amid Controversy Over Relationship with HR Executive
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
US Revokes Visas of Brazilian Corrupted Judges Amid Fake Bolsonaro Investigation
U.S. Congress Approves Rescissions Act Cutting Federal Funding for NPR and PBS
North Korea Restricts Foreign Tourist Access to New Seaside Resort
Brazil's Supreme Court Imposes Radical Restrictions on Former President Bolsonaro
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Judge Criticizes DOJ Over Secrecy in Dropping Charges Against Gang Leader
Apple Closes $16.5 Billion Tax Dispute With Ireland
Von der Leyen Faces Setback Over €2 Trillion EU Budget Proposal
UK and Germany Collaborate on Global Military Equipment Sales
Trump Plans Over 10% Tariffs on African and Caribbean Nations
Flying Taxi CEO Reclaims Billionaire Status After Stock Surge
Epstein Files Deepen Republican Party Divide
Zuckerberg Faces $8 Billion Privacy Lawsuit From Meta Shareholders
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
SpaceX Nears $400 Billion Valuation With New Share Sale
×