China’s top parliament is in the last of its four-day meeting on draft bills with some broad indications unveiled about Hong Kong’s anti-sanctions law, including a rough timeline and government entities to be involved.
China’s National People’s Congress (NPC) Standing Committee is expected to formally approve the anti-sanctions law today, marking an end to its four-day closed-door talks on various draft bills.
Although approval of the law is a foregone conclusion – Hong Kong’s sole delegate to the NPC Standing Committee Tam Yiu-chung had already flagged Friday as the day the legislation will be officially introduced – the financial industry is still closely watching for signs on how and when implementation will occur.
While the NPC Standing Committee is expected to approve the law’s insertion into the Basic Law – Hong Kong’s own constitution – the city will draft its own version locally, according to a report citing unnamed government insiders.
The government had no choice but to address growing corporate concerns due to the critical importance of upholding’s Hong Kong’s status as a global financial hub, the source explained.
The mainland’s version is a bit too broad, which has caused great fear among international businesses in the city, the source said. Some suggested the local version should be more specific so as to alleviate worries, while others also think a vague law could give the government flexibility. The government, therefore, has to get a green light from the central government on how much it can do.
According to the report, entities to be involved with drafting the local legislation include chief executive Carrie Lam, Financial Secretary Paul Chan, the Hong Kong Monetary Authority as well as the bureaus for financial services, security and constitutional and mainland affairs.
Separately, Chan was scheduled to meet lawmakers over the matter this week but the discussions were abruptly canceled.
The government has not decided which bureau should take the lead, while the financial secretary has been listening to views in society, one of the sources said.
And in order to obtain sufficient feedback from key stakeholders, Hong Kong lawmakers will be working on a local draft of the anti-sanctions at least until next year.
Lam had previously said that she did not have an explicit deadline for implementation but added that completion within the current term, which ends in October before the next session opens in early 2022, would be an extremely tight timetable to rush a piece of legislation with the necessary consultation with stakeholders.
In addition to the NPC Standing Committee meeting this week, the industry will also look for more clarity from a delegation led by Huang Liuquan, a deputy director of the State Council’s Hong Kong and Macau Affairs Office, when they visit the city next week to brief lawmakers on the nation’s 14th five-year plan.