Desperate Times for Hong Kong's Restaurants

A recent video from the South China Morning Post sheds light on the alarming plight of restaurants in Hong Kong, highlighting a broader economic stagnation plaguing the city. While the pandemic has undoubtedly played a pivotal role, it’s just one piece of a much larger puzzle.

COVID-19: Just the Tip of the Iceberg

Years after the pandemic, Hong Kong finds itself grappling with an economic recovery that seems sluggish at best. Tourism, a critical lifeblood, remains 20% lower than pre-pandemic levels despite a recent uptick. Travelers have pivoted to alternative destinations, sidelining the once-bustling hospitality sector.

Political Turmoil and Economic Stagnation

While COVID-19 is a significant factor, it’s not the sole villain. Other global cities are flourishing post-pandemic, while Hong Kong's GDP growth is a mere 2%. What's holding this city back? The disruptive effects of the National Security Law (NSL), enforced in 2020, loom large.

The Cost of Dissent: Jimmy Lai's Story

The case of Jimmy Lai—a billionaire businessman and vocal advocate for democracy—highlights the chilling impact of the NSL. Arrested for his political beliefs, Lai witnessed the government freeze his assets and shutter his newspaper, Apple Daily, even before a conviction. This blatant disregard for due process sends a chilling message to business owners about the safety of their investments.

The Erosion of Trust

Once a bastion for foreign financiers, Hong Kong’s reputation for a reliable legal system is crumbling. The NSL has created an environment of fear and uncertainty, discouraging both local and international businesses from feeling secure in their investments.

A Call for Change

The NSL is a profound injustice, yet a call for liberty is unlikely to sway decision-makers in Beijing. However, the economic reality is clear: if Hong Kong doesn't cultivate an environment of trust and rule of law, businesses will continue to flee to safer havens like Singapore.

The Stakes Are High for Hong Kong's Future

Once celebrated as a global financial hub thanks to its commitment to free markets and the rule of law, the case of Jimmy Lai illustrates a departure from those principles. Recent controversies, such as the CCP’s interference in business dealings, further emphasize these diminishing values.

A Roadmap to Recovery

To revive its economy and regain its status, Hong Kong must pivot away from authoritarianism and rekindle the very ideals that once fueled its greatness. Embracing these values isn’t just a moral imperative; it’s an essential strategy for economic survival.