HK lags behind Singapore due to political obstruction

Updated: 2012-09-07 06:50

By Yiu Chi-shing(HK Edition)

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I travel between Hong Kong and Singapore quite often. In recent years, I have witnessed with mixed feelings the widening gap between the two cities in terms of development. I increasingly worry about Hong Kong as it struggles to advance while being trapped up every step of the way by politicization of every issue imaginable.

In the past 20 years, Hong Kong's gross domestic product (GDP) has risen by just 3.96 percent on average every year, compared with Singapore's 6.6 percent. The main reason that Hong Kong has not been able to develop as fast as Singapore in recent years is the excessive politicization of many issues that led to tremendous wastage of time and energy, in endless squabbling and infighting at the expense of the economy and quality of life.

As the legislative Council (LegCo) election approaches, Hong Kong voters should make sure their votes go to the candidates who truly contribute to Hong Kong's development including the living standards of local residents.

Hong Kong and Singapore were two of the four "Asian Dragons" back in the second half of the 20th century when their economies took off. Both are city economies due to lack of natural resources. They compete against each other and learn from each other. Hong Kong was ahead of the other three "dragons" in terms of economic growth until the 1990s, when the pace of economic and social development in the city slowed down in the late 1990s.

Singapore eventually caught up with Hong Kong, then surpassed it. Singapore has maintained strong economic growth in recent years and extended its lead over our city. In 2011, Singapore's GDP reached $300 billion, which translated into nearly $60,000 per person, while Hong Kong's GDP was $250 billion and less than $35,000 per capita. Hong Kong's population is 7 million, compared with Singapore's 5 million.

In recent years, both Hong Kong and Singapore have experienced the effects of the Asian financial turmoil, the sub-prime credit collapse in the US and the ongoing debt crisis in Europe. All these economic crises were serious challenges, but Singapore made extra efforts to diversify its economy by developing bio-medicine, oil processing and tourism industries and became more resistant to transient, adverse conditions.

In sharp contrast Hong Kong's economic growth has been rather slow in recent years, mainly because some politicians preferred to stir controversies, which prevented the government from focusing on economic development and improving the quality of life. Meanwhile, Hong Kong suffered setbacks in major infrastructure development projects as opposition parties went out of their way to ambush the government. The worst of such blows was the judicial review case against the Hong Kong section of the Hong Kong-Zhuhai-Macao Bridge. That opposition adventure delayed the multi-billion dollar construction project for months while the court case dragged on. When the High Court finally ruled in favor of the government, about HK$8.8 billion had been lost because of the delay.

Even the "Individual Visit Scheme", which has helped Hong Kong's economy by allowing large numbers of mainland residents to come to Hong Kong and spend, has become a target of the opposition. When Shenzhen authorities announced that it was extending eligibility for "multiple-entry visas" to residents from other areas of the mainland, some people in Hong Kong with ulterior motives immediately threw up a cry of anti-mainland hysteria. Protesters then demanded that the SAR government refuse to raise the daily limit for arrivals under the "Individual Visit Scheme".

At a time when countries in the region such as Japan, South Korea and Singapore are trying hard to attract more Chinese tourists amid the global economic recession, some people in Hong Kong are demanding that the city shut its doors to millions of mainland residents ready to spend billions of dollars here. This is an apparent attempt for political purposes, to deny Hong Kong and its residents the opportunity to benefit from increased spending by mainland tourists.

How can the city's economy develop if such ill-motivated political maneuvers are allowed to block the government's efforts to carry out its mandate? And how could Hong Kong not fall behind Singapore in economic development when misguided politicians had their way?

This sad reality proves how important it is to select the right representatives to carry out the popular will in Sunday's LegCo election. Voters must realize Hong Kong cannot afford to let itself be consumed by political wrangling at the expense of economic development and the standards of living of people in the city. And voters can make a difference by voting for candidates who are truly dedicated to serving local residents' interests instead of those bent on paralyzing the government for personal gains.

The author is a HK member of the CPPCC and chairman of the Hong Kong Overseas Chinese General Association.

(HK Edition 09/07/2012 page3)