Hong Kong

Hong Kong

Introduction

Background

Occupied by the UK in 1841, Hong Kong was formally ceded by China the following year

various adjacent lands were added later in the 19th century. Pursuant to an agreement signed by China and the UK on 19 December 1984, Hong Kong became the Hong Kong Special Administrative Region (SAR) of the People’s Republic of China on 1 July 1997. In this agreement, China promised that, under its “one country, two systems” formula, China’s socialist economic system would not be imposed on Hong Kong and that Hong Kong would enjoy a high degree of autonomy in all matters except foreign and defense affairs for the next 50 years.

Geography

Location

Eastern Asia, bordering the South China Sea and China

Geographic coordinates

22 15 N, 114 10 E

Map references

Southeast Asia

Area

total: 1,104 sq km
country comparison to the world: 184 land:1,054 sq km
water:50 sq km

Area – comparative

six times the size of Washington, DC

Land boundaries

total: 30 km
regional border:China 30 km

Coastline

733 km

Maritime claims

territorial sea: 3 nm

Climate

subtropical monsoon

cool and humid in winter, hot and rainy from spring through summer, warm and sunny in fall

Terrain

hilly to mountainous with steep slopes

lowlands in north

Elevation extremes

lowest point: South China Sea 0 m
highest point:Tai Mo Shan 958 m

Natural resources

outstanding deepwater harbor, feldspar

Land use

arable land: 5.05%
permanent crops:1.01%
other:93.94% (2001)

Irrigated land

NA

note – included in the total for China (2008)

Natural hazards

occasional typhoons

Environment – current issues

air and water pollution from rapid urbanization

Environment – international agreements

party to: Marine Dumping (associate member), Ship Pollution (associate member)

Geography – note

composed of more than 200 islands

People and Society

Nationality

noun: Chinese/Hong Konger
adjective:Chinese/Hong Kong

Ethnic groups

Chinese 95%, Filipino 1.6%, Indonesian 1.3%, other 2.1% (2006 census)

Languages

Cantonese (official) 90.8%, English (official) 2.8%, Putonghua (Mandarin) 0.9%, other Chinese dialects 4.4%, other 1.1% (2006 census)

Religions

eclectic mixture of local religions 90%, Christian 10%

Population

7,122,508 (July 2011 est.)
country comparison to the world: 99

Age structure

0-14 years: 11.6% (male 431,728/female 394,898)
15-64 years:74.8% (male 2,573,929/female 2,757,095)
65 years and over:13.5% (male 452,278/female 512,580) (2011 est.)

Median age

total: 43.4 years
male:42.8 years
female:43.8 years (2011 est.)

Population growth rate

0.448% (2011 est.)
country comparison to the world: 152

Birth rate

7.49 births/1,000 population (2011 est.)
country comparison to the world: 219

Death rate

7.07 deaths/1,000 population (July 2011 est.)
country comparison to the world: 130

Net migration rate

4.06 migrant(s)/1,000 population (2011 est.)
country comparison to the world: 24

Urbanization

urban population: 100% of total population (2010)
rate of urbanization:0.9% annual rate of change (2010-15 est.)

Sex ratio

at birth: 1.075 male(s)/female
under 15 years:1.09 male(s)/female
15-64 years:0.94 male(s)/female
65 years and over:0.88 male(s)/female
total population:0.95 male(s)/female (2011 est.)

Infant mortality rate

total: 2.9 deaths/1,000 live births
country comparison to the world: 217 male:3.08 deaths/1,000 live births
female:2.71 deaths/1,000 live births (2011 est.)

Life expectancy at birth

total population: 82.04 years
country comparison to the world: 8 male:79.32 years
female:84.97 years (2011 est.)

Total fertility rate

1.07 children born/woman (2011 est.)
country comparison to the world: 221

HIV/AIDS – adult prevalence rate

0.1% (2003 est.)
country comparison to the world: 133

HIV/AIDS – people living with HIV/AIDS

2,600 (2003 est.)
country comparison to the world: 130

HIV/AIDS – deaths

fewer than 200 (2003 est.)
country comparison to the world: 106

Education expenditures

4.5% of GDP (2009)
country comparison to the world: 80

Literacy

definition: age 15 and over has ever attended school
total population:93.5%
male:96.9%
female:89.6% (2002)

School life expectancy (primary to tertiary education)

total: 16 years
male:15 years
female:16 years (2009)

Unemployment, youth ages 15-24

total: 12.6%
country comparison to the world: 88 male:15.1%
female:10.3% (2009)

Government

Country name

conventional long form: Hong Kong Special Administrative Region
conventional short form:Hong Kong
official long form:Xianggang Tebie Xingzhengqu
official short form:Xianggang
abbreviation:HK

Dependency status

special administrative region of China

Government type

limited democracy

Administrative divisions

none (special administrative region of China)

Independence

none (special administrative region of China)

National holiday

National Day (Anniversary of the Founding of the People’s Republic of China), 1 October (1949)

note – 1 July 1997 is celebrated as Hong Kong Special Administrative Region Establishment Day

Constitution

Basic Law, approved March 1990 by China’s National People’s Congress, is Hong Kong’s charter

Legal system

mixed legal system of common law based on the English model and Chinese customary law (in matters of family and land tenure)

Suffrage

direct election – 18 years of age for half the legislature and a majority of seats in 18 district councils

universal for permanent residents living in the territory of Hong Kong for the past seven years
indirect election – limited to about 220,000 members of functional constituencies for the other half of the legislature and an 800-member election committee for the chief executive drawn from broad sectoral groupings, central government bodies, and municipal organizations

Executive branch

chief of state: President of China HU Jintao (since 15 March 2003)
head of government:Chief Executive Donald TSANG Yam-kuen (since 24 June 2005)
cabinet:Executive Council or ExCo consists of 15 official members and 14 non-official members
(For more information visit the World Leaders website ) elections:chief executive elected for five-year term by 800-member electoral committee

election last held on 25 March 2007 (next to be held in March 2012)
note:the LegCo voted in June 2010 to expand the electoral committee to 1,200 seats for the next election
election results:Donald TSANG elected chief executive receiving 84.1% of the vote of the election committee

Alan LEONG Kah-kit received 15.9%

Legislative branch

unicameral Legislative Council or LegCo (60 seats

30 members indirectly elected by functional constituencies, 30 elected by popular vote

members serve four-year terms)
note:the LegCo voted in June 2010 to expand to 70 seats for the next election

the measure was approved by the National People’s Congress Standing Committee in August 2010

the 10 new seats will be elected by popular vote
elections:last held on 7 September 2008 (next to be held in September 2012)
election results:percent of vote by party – pro-democracy 57%

pro-Beijing 40%, independent 3%

seats by parties – (pro-Beijing 35) DAB 13, Liberal Party 7, FTU 1, others 14

(pro-democracy 23) Democratic Party 8, Civic Party 5, CTU 3, League of Social Democrats 3, ADPL 2, The Frontier 1, NWSC 1

others 11

independents and non-voting LegCo president 2

Judicial branch

Court of Final Appeal, High Court (Court of Appeal and the Court of the First Instance), district courts, magistrates’ courts, and other special courts

Political parties and leaders

parties: Association for Democracy and People’s Livelihood or ADPL [LIU Sung Lee]

Civic Party [Audrey EU Yuet-mee]

Democratic Alliance for the Betterment and Progress of Hong Kong or DAB [TAM Yiu Cheng]

Democratic Party [Albert HO Chun-yan]

League of Social Democrats [Raymond WONG Yuk-man]

Liberal Party [Miriam LAU Kin-yee]

The Frontier (disbanded)
others:Confederation of Trade Unions or CTU

Federation of Trade Unions or FTU

Neighborhood and Workers Service Center or NWSC
note:political blocs include: pro-democracy – ADPL, Civic Party, Democratic Party, League of Social Democrats

pro-Beijing – DAB, Liberal Party, The Professional Forum (an informal group of three generally pro-government and pro-business LegCo members from functional constituencies and one independent elected from a geographic constituency), and Economic Synergy

there is no political party ordinance, so there are no registered political parties

politically active groups register as societies or companies

Political pressure groups and leaders

Chinese General Chamber of Commerce (pro-China)

Chinese Manufacturers’ Association of Hong Kong

Confederation of Trade Unions or CTU (pro-democracy) [LEE Cheuk-yan, general secretary]

Federation of Hong Kong Industries

Federation of Trade Unions or FTU (pro-China) [CHENG Yiu-tong, executive councilor]

Hong Kong Alliance in Support of the Patriotic Democratic Movement in China [LEE Cheuk-yan, chairman]

Hong Kong and Kowloon Trade Union Council (pro-Taiwan)

Hong Kong General Chamber of Commerce

Hong Kong Professional Teachers’ Union [FUNG Wai-wah, president]

Neighborhood and Workers’ Service Center or NWSC [LEUNG Yiu-chung, LegCo member] (pro-democracy)

Civic Act-up [Cyd HO Sau-lan, LegCo member] (pro-democracy)

International organization participation

ADB, APEC, BIS, FATF, ICC, IHO, IMF, IMO (associate), Interpol (subbureau), IOC, ISO (correspondent), ITUC, UNWTO (associate), UPU, WCO, WTO

Diplomatic representation in the US

none (special administrative region of China)

Hong Kong Economic and Trade Office carries out normal liaison and communication with the US Government and other US entities
representative:Donald TONG
office:1520 18th Street NW, Washington, DC 20036
telephone:[1] 202 331-8947
FAX:[1] 202 331-0318
NKETO offices:New York, San Francisco

Diplomatic representation from the US

chief of mission: Consul General Stephen M. YOUNG
consulate(s) general:26 Garden Road, Hong Kong
mailing address:PSC 461, Box 1, FPO AP 96521-0006
telephone:[852] 2523-9011
FAX:[852] 2845-1598

Flag description

red with a stylized, white, five-petal Bauhinia flower in the center

each petal contains a small, red, five-pointed star in its middle

the red color is the same as that on the Chinese flag and represents the motherland

the fragrant Bauhinia – developed in Hong Kong the late 19th century – has come to symbolize the region

the five stars echo those on the flag of China

National symbol(s)

orchid tree flower

National anthem

note: as a Special Administrative Region of China, “Yiyonggjun Jinxingqu” is official (see China)

Economy

Economy – overview

Hong Kong has a free market economy highly dependent on international trade and finance – the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong’s open economy left it exposed to the global economic slowdown, but its increasing integration with China, through trade, tourism, and financial links, helped it recover more quickly than many observers anticipated. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts

RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong

and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 4.6% of total system deposits in Hong Kong by the end of 2010, an increase of over 392% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota for 2011. The mainland has long been Hong Kong’s largest trading partner, accounting for about half of Hong Kong’s exports by value. Hong Kong’s natural resources are limited, and food and raw materials must be imported. As a result of China’s easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 22.5 million in 2010, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2010 mainland Chinese companies constituted about 19% of the firms listed on the Hong Kong Stock Exchange and accounted for 62% of the Exchange’s market capitalization. During the past decade, as Hong Kong’s manufacturing industry moved to the mainland, its service industry has grown rapidly and in 2009 accounted for more than 90% of the territory’s GDP. GDP growth averaged a strong 3.8% from 1989 to 2010. Hong Kong’s GDP fell in 2009 as a result of the global financial crisis, but a recovery began in third quarter 2009, and the economy grew nearly 6.8% in 2010. The Hong Kong government adopted several temporary fiscal policy support measures in response to the crisis that it may discontinue if strong growth is sustained. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010, and some lower income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.

GDP (purchasing power parity)

$325.8 billion (2010 est.)
country comparison to the world: 37 $305 billion (2009 est.)
$313.3 billion (2008 est.)
note:data are in 2010 US dollars

GDP (official exchange rate)

$225 billion (2010 est.)

GDP – real growth rate

6.8% (2010 est.)
country comparison to the world: 40 -2.7% (2009 est.)
2.3% (2008 est.)

GDP – per capita (PPP)

$45,900 (2010 est.)
country comparison to the world: 13 $43,200 (2009 est.)
$44,600 (2008 est.)
note:data are in 2010 US dollars

GDP – composition by sector

agriculture: 0%
industry:7.4%
services:92.5% (2010 est.)

Labor force

3.676 million (2010 est.)
country comparison to the world: 93

Labor force – by occupation

manufacturing: 4.7%
construction:2.2%
wholesale and retail trade, restaurants, and hotels:41.7%
financing, insurance, and real estate:12%
transport and communications:6.3%
community and social services:17%
note:above data exclude public sector (2010 est.)

Unemployment rate

4.3% (2010 est.)
country comparison to the world: 39 5.2% (2009 est.)

Population below poverty line

NA%

Household income or consumption by percentage share

lowest 10%: NA%
highest 10%:NA%

Distribution of family income – Gini index

53.3 (2007)
country comparison to the world: 15

Investment (gross fixed)

21.5% of GDP (2010 est.)
country comparison to the world: 96

Budget

revenues: $45.4 billion
expenditures:$38.94 billion (2010 est.)

Taxes and other revenues

20.2% of GDP (2010 est.)
country comparison to the world: 157

Budget surplus (+) or deficit (-)

2.9% of GDP (2010 est.)
country comparison to the world: 18

Public debt

17.8% of GDP (2010 est.)
country comparison to the world: 114 37.6% of GDP (2009 est.)

Inflation rate (consumer prices)

2.3% (2010 est.)
country comparison to the world: 72 0.6% (2009 est.)

Central bank discount rate

0.5% (31 December 2010 est.)
country comparison to the world: 138 0.5% (31 December 2009 est.)

Commercial bank prime lending rate

5% (31 December 2010 est.)
country comparison to the world: 162 5% (31 December 2009 est.)

Stock of narrow money

$82.18 billion (31 December 2010 est.)
country comparison to the world: 35 $75.45 billion (31 December 2009 est.)

Stock of broad money

$914.9 billion (31 December 2009)
country comparison to the world: 18 $846.5 billion (31 December 2008)

Stock of domestic credit

$445.8 billion (31 December 2010 est.)
country comparison to the world: 27 $351 billion (31 December 2009 est.)

Market value of publicly traded shares

$2.711 trillion (31 December 2010)
country comparison to the world: 6 $2.292 trillion (31 December 2009)
$1.329 trillion (31 December 2008 est.)

Agriculture – products

fresh vegetables

poultry, pork

fish

Industries

textiles, clothing, tourism, banking, shipping, electronics, plastics, toys, watches, clocks

Industrial production growth rate

3.5% (2010 est.)
country comparison to the world: 105

Electricity – production

38.23 billion kWh (2010 est.)
country comparison to the world: 57

Electricity – consumption

42.64 billion kWh (2010 est.)
country comparison to the world: 50

Electricity – exports

2.23 billion kWh (2010 est.)

Electricity – imports

12.26 billion kWh (2010 est.)

Oil – production

0 bbl/day (2010 est.)
country comparison to the world: 181

Oil – consumption

333,000 bbl/day (2010 est.)
country comparison to the world: 38

Oil – exports

22,670 bbl/day (2009 est.)
country comparison to the world: 88

Oil – imports

428,200 bbl/day (2010)
country comparison to the world: 29

Oil – proved reserves

0 bbl (1 January 2011 est.)
country comparison to the world: 143

Natural gas – production

0 cu m (2010 est.)
country comparison to the world: 195

Natural gas – consumption

4.02 billion cu m (2010 est.)
country comparison to the world: 64

Natural gas – exports

0 cu m (2010 est.)
country comparison to the world: 112

Natural gas – imports

4.02 billion cu m (2010 est.)
country comparison to the world: 35

Natural gas – proved reserves

0 cu m (1 January 2011 est.)
country comparison to the world: 147

Current account balance

$14.8 billion (2010 est.)
country comparison to the world: 21 $17.96 billion (2009 est.)

Exports

$394 billion (2010 est.)
country comparison to the world: 12 $321.8 billion (2009)

Exports – commodities

electrical machinery and appliances, textiles, apparel, footwear, watches and clocks, toys, plastics, precious stones, printed material

Exports – partners

China 52.7%, US 11%, Japan 4.2% (2010 est.)

Imports

$437 billion (2010 est.)
country comparison to the world: 9 $348.7 billion (2009 est.)

Imports – commodities

raw materials and semi-manufactures, consumer goods, capital goods, foodstuffs, fuel (most is reexported)

Imports – partners

China 45.1%, Japan 9.6%, Taiwan 7.6%, Singapore 4.8%, US 4.7% (2010)

Reserves of foreign exchange and gold

$268.7 billion (31 December 2010 est.)
country comparison to the world: 10 $255.8 billion (31 December 2009 est.)

Debt – external

$903.2 billion (30 June 2011 est.)
country comparison to the world: 16 $750.8 billion (31 December 2010 est.)

Stock of direct foreign investment – at home

$1.098 trillion (31 December 2010 est.)
country comparison to the world: 3 $936.4 billion (31 December 2009 est.)

Stock of direct foreign investment – abroad

$948.5 billion (31 December 2010 est.)
country comparison to the world: 6 $832.1 billion (31 December 2009 est.)

Exchange rates

Hong Kong dollars (HKD) per US dollar -
7.78 (2010)
7.75 (2009)
7.751 (2008)
7.802 (2007)
7.7678 (2006)

Transportation

Airports

2 (2010)
country comparison to the world:201

Airports – with paved runways

total: 2
over 3,047 m:1
1,524 to 2,437 m:1 (2010)

Heliports

9 (2010)

Roadways

total: 2,067 km
country comparison to the world: 172 paved:2,067 km (2010)

Merchant marine

total: 1,429
country comparison to the world: 5 by type:barge carrier 2, bulk carrier 629, cargo 177, carrier 11, chemical tanker 134, container 274, liquefied gas 37, passenger 4, passenger/cargo 9, petroleum tanker 139, roll on/roll off 5, vehicle carrier 8
foreign-owned:855 (Belgium 16, Bermuda 12, Canada 70, China 432, Cyprus 3, Denmark 41, France 3, Germany 10, Greece 22, Indonesia 8, Iran 1, Japan 84, Libya 1, Norway 49, Russia 1, Singapore 13, South Korea 3, Taiwan 26, UAE 2, UK 27, US 31)
note:this country allows large numbers of ships owned by foreign entities to be registered in its national shipping registry and to fly its flag

these ships operate under the laws of the flag state
registered in other countries:297 (Bahamas 2, Bermuda 5, Cambodia 11, China 15, Cyprus 2, Georgia 4, Honduras 1, India 1, Kiribati 1, Liberia 47, Malaysia 8, Malta 2, Marshall Islands 3, former Netherlands Antilles 1, NZ 1, Panama 125, Saint Vincent and the Grenadines 4, Seychelles 1, Sierra Leone 4, Singapore 38, Thailand 1, Tuvalu 1, UK 8, unknown 11) (2010)

Ports and terminals

Hong Kong

Military

Military branches

no regular indigenous military forces

Hong Kong garrison of China’s People’s Liberation Army (PLA) includes elements of the PLA Ground Forces, PLA Navy, and PLA Air Force

these forces are under the direct leadership of the Central Military Commission in Beijing and under administrative control of the adjacent Guangzhou Military Region (2009)

Manpower available for military service

males age 16-49: 1,704,090
females age 16-49:1,873,175 (2010 est.)

Manpower fit for military service

males age 16-49: 1,387,213
females age 16-49:1,505,875 (2010 est.)

Manpower reaching militarily significant age annually

male: 39,579
female:36,554 (2010 est.)

Military expenditures

NA

Military – note

defense is the responsibility of China

Transnational Issues

Disputes – international

none

Illicit drugs

despite strenuous law enforcement efforts, faces difficult challenges in controlling transit of heroin and methamphetamine to regional and world markets

modern banking system provides conduit for money laundering

rising indigenous use of synthetic drugs, especially among young people