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Tammy Tam

“What lies ahead in 2021 we have yet to know, but we must have done great if we’re still alive when 2020 ends!”
With just 10 days to go before we usher in a new year, this seems to be the general sentiment across the city as it battles a fourth wave of the coronavirus pandemic with no end in sight, while global geopolitical uncertainties keep growing.
No one has a crystal ball to predict the future, but any responsible government should rethink, reassess, and plan ahead strategically, for better or worse.
After a three-day, high-level conference, the top Beijing leadership last week outlined eight major tasks to ensure future economic growth with a clear “no policy U-turn” pledge.
Major initiatives included kicking off a comprehensive antitrust campaign to prevent “disorderly expansion of capital”, strengthening core technology development, ensuring more self-controlled supply chains, and safeguarding grain supplies.
Will a Biden presidency give Hong Kong a break, or is it the other way round?
China, by now, is the first country to see its economy picking up after the devastating Covid-19 outbreak due to its strict, top-down, pandemic-control measures. But it will take a while to conclude whether that signals an economic rebound or a definite recovery, taking into consideration the much-deteriorated Sino-US relations.
US president-elect Joe Biden is not making bilateral tensions a priority for his incoming administration. He has more urgent domestic crises to tackle, starting with containing the worsening pandemic and trying to roll out an economic stimulus plan.
He does need to reshape foreign policy and rebuild stronger alliances to maintain America’s global dominance, though, and a tough stance towards China is set to continue.
It’s against such a complex backdrop that Hong Kong’s financial chief, Paul Chan Mo-po, has started drafting the city’s spending blueprint for the next fiscal year. After all, it’s all about the economy, everywhere.

Worryingly, Chan is left with a rapidly shrinking reserves of less than HK$800 billion (US$103 billion) in the pot after rolling out several rounds of anti-pandemic subsidies, totalling HK$300 billion – which have had limited effects on easing the financial blow to so many businesses. If the remaining amount still seems plenty enough, don’t forget another HK$300 billion deficit is already estimated for 2021, because of the global economic outlook.
Hong Kong cannot afford to say ‘I don’t mind’ to being overtaken by Shenzhen
“A journey of a thousand miles starts with the first step,” the old Chinese saying goes, and Chan’s coming budget is a test of whether this government can put Hong Kong on the right track with its first step in 2021.
Gone are the days when Hong Kong could easily leverage on markets in both mainland China and the US and the West to maximise benefits. Instead, the city has become a sticking point in Sino-US relations. Washington imposed sanctions on Hong Kong after Beijing introduced a national security law in the city to ban acts of secession, subversion, terrorism and collusion with foreign forces.
To make matters worse, Hong Kong’s failure to contain the pandemic is preventing it from resuming cross-border economic interactions with the mainland.

That does not necessarily mean the end of the world for Hong Kong, although no easy panacea is immediately available. But in launching the first major policy initiative of the year, Chan knows his budget is more than just about spending money – any future cash handout must be well prioritised, and he is expected to shed some light on the economic way out for the city.
We can no longer afford to misspend our hard-earned reserves. People need jobs and hope. Hongkongers deserve more than just taking comfort in still being “alive” in 2021!


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Will a Biden presidency give Hong Kong a break, or is it the other way round?

Whether it’s Joe Biden or Donald Trump in the White House, the future course of Hong Kong is more for Beijing to set now. Photo: AP

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Hong Kong's Chief Executive Carrie Lam meets Chinese Vice Premier Han Zheng in Beijing, China in this handout picture released by Hong Kong Information Services Department November 6, 2020. Hong Kong Information Services Department/Handout via REUTERS ATTENTION EDITORS - THIS IMAGE WAS PROVIDED BY A THIRD PARTY. NO RESALES. NO ARCHIVES.

Even amid the US ‘crusade’ against China, Hong Kong can be a critical connecting point between the two powers

As tensions continue to heat up between the United States and China, Hong Kong’s unique status could give it a role to play as a connecting point between the two powers. Photo: AFP

U.S. President Donald Trump speaks during a news conference in the James S. Brady Press Briefing Room at the White House in Washington, D.C., U.S. on Wednesday, July 22, 2020. Trump administration officials and Senate Republicans are discussing a short-term extension of unemployment insurance, as lawmakers and the White House appear unlikely to reach a broader stimulus deal before the benefits lapse. Photographer: Sarah Silbiger/UPI/Bloomberg

A bus leaves the US Consulate General in Chengdu in Chengdu city, China's Sichuan province, on Sunday morning, July 26, 2020. Chinese government has announced to let US Consulate General in Chengdu to close, after US ordered Chinese Consulate General in Houston to close. 26JUL20 SCMP/Simon Song

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Gone are the days when Hong Kong could easily leverage on markets in mainland China and the US
The city’s coming budget is a test of whether the government can put it on the right track in 2021



The city’s coming budget is a test of whether the government can put it on the right track in 2021.


Expresses the views, ideas and conclusions of the author. (Eg. Enough of Crazy Rich Asians, think of crazy poor Hongkongers.)


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