Innovation, fostering unity among tasks for Hong Kong’s John Lee: observers Hong Kong’s leader has three pressing challenges following his duty visit to Beijing, observers have said – fostering social unity, promoting innovative decision-making and balancing the government budget. Chief Executive John Lee Ka-chiu ended his trip to the capital on Saturday after meeting President Xi Jinping the previous day to report on Hong Kong developments. Xi affirmed support for the chief executive to “unite all sectors in society to seek reforms” and promote economic prosperity through “innovation”. “Unity is now an issue within the establishment, but it is not something Lee can personally control,” veteran China watcher Johnny Lau Yui-siu said. “Therefore, what Xi Jinping said about uniting all sectors of society is to a certain extent directional advice, not an accusation.” He said an example was that the property sector remained keen on publicising its profits-first approach to the Northern Metropolis development after Xia Baolong, Beijing’s point man on Hong Kong affairs, called for more active participation in the city’s infrastructure projects. “Responses from residents and business circles to policies proposed by the government have not been that enthusiastic. People are not objecting, but they are mostly waiting and watching,” Lau added. The city leader pledged at Friday’s meeting with Xi to lead Hong Kong in pursuing reforms and deepening integration with mainland China to achieve “high-quality” development. He also reported to the president that despite a forecast deficit of over HK$100 billion for the current financial year, his administration would strive to return to a balanced budget in the next three to five years. But economist Simon Lee Siu-po argued it would be “impossible” to restore a balanced budget in three years given the city’s long-standing reliance on income from land sales to pay for its recurring expenses. His previous call for all civil servants to take pay cuts also sparked heated debate. The economist also expressed scepticism in the ability of Lee’s administration to meet Beijing’s expectations in creating new economic momentum through innovative policymaking. “Its policies are contradictory and coordination is poor. It wants to attract more overnight visitors but relaunches the hotel accommodation tax,” he said. “It promotes the nightlife economy while police are actively issuing illegal parking tickets.” Billy Mak Sui-choi, an associate professor with Baptist University’s department of accountancy, economics and finance, said a recovery in the property market in the next couple of years could help the government generate the necessary land sale revenues to balance the books. “The government should study how to raise taxes if it really needs to … these plans don’t need to be done in a hurry, instead they can be prepared and placed in a tool box that can be taken out and ready immediately when necessary,” Mak said. Political pundit Lau said there was speculation about Lee’s prospects of securing a second term in office upon news that Chief Secretary Eric Chan Kwok-ki would be joining the Beijing duty trip. “One interpretation is that many policies need to be coordinated by [Chan], so it is practical for him to join the meeting. The other perspective is speculative,” he said. “At this stage I don’t think anyone can tell who will be the next chief executive … No matter what, we can all see that Lee is working hard. “[His re-election odds] will still depend on the approach he adopts, and the actual results he can achieve.” Business representatives voiced support for Lee’s administration after Xi’s remarks about Hong Kong. Wingco Lo Kam-wing, president of the Chinese Manufacturers’ Association of Hong Kong, said Xi’s recognition of Lee would serve as stout backing to the administration to achieve reforms in governance. The Business and Professionals Alliance for Hong Kong also said on Saturday that it would make good use of its regional network to work closely with the government to strive for the economy, benefit people’s livelihoods and advance the city’s prosperity through innovation. https://www.scmp.com/news/hong-kong/politics/article/3290831/innovation-fostering-unity-among-tasks-hong-kongs-john-lee-observers (ICE HONG KONG)

Fonte notizia: South China Morning Post