HSI Rally Shows Market Support For Security Law: CE

Chief Executive Carrie Lam says the fact that the Hong Kong stock market has hit a three-month high on Friday shows investors are highly supportive of the upcoming national security legislation.

Writing on her Facebook page, Lam said even though the Hang Seng Index plummeted around 1,400 points on May 22 – the day the National People’s Congress decided to impose national security laws in Hong Kong – all of those losses have since been recovered.

She stressed this shows how overseas and local investors are confident that the new legislation will improve the rule of law and bring stability to the SAR.

The CE added that the government has not seen an outflow of capital, and the banking system has remained steady.

That, along with the secondary listing of China concept stocks as well as the expansion of the local Purchasing Manager’s Index, all show that Hong Kong is resilient and is able to ride out any challenges, Lam said.

She added the fact that the central government, the People’s Bank of China, the China Banking and Insurance Regulatory Commission and the China Securities Regulatory Commission have all spoken out in support of Hong Kong shows that the city has what it takes to thrive as an international financial hub.