Hong Kong's position as the world's leading financial hub will be seriously challenged if the political reform package is vetoed, resulting in prolonged political instability that can drag down economic growth for up to 10 years, businessman Andrew Yao Cho-fai, a deputy to the National People's Congress, has warned.

"Should the package be rejected this time, the worst is yet to come for Hong Kong," Yao told China Daily in an interview on Thursday. He said as the government is struggling to tackle the resistance of the opposition camp, it has lost many opportunities to improve the city's overall economic competitiveness.

"It's alarming that some politicians in the opposition camp put own political ambitions above Hong Kong's economic and social stability. What they say doesn't reflect reality," said Yao, who is chairman of Hong Kong-listed steel supplier Van Shung Chong Holdings Ltd.

The reality, he said, is the need for stronger integration with the mainland's economy to generate more opportunities for people from all walks of life in Hong Kong.

"The central government is most accommodating in lowering the threshold for Chief Executive hopefuls," Yao said. "I believe the skillfully crafted arrangement will enhance the government's capacity to secure enough support in the Legislative Council for the passing of the reform package," he said.

The SAR's business sector has voiced strong support for the reform blueprint, he said, including the five major chambers of commerce and business associations.

Van Shung Chong holds a 30-percent market share of steel trading in Hong Kong. Construction of the Hong Kong-Zhuhai-Macao Bridge and other infrastructure projects has been a boon for steel and other construction material suppliers.

The shift toward a government that makes the best use of its fiscal capacity to address the needs of Hong Kong people would be thwarted without closer cross-border partnership, Yao warned.

"As mainland enterprises speed up the process of global diversification or 'going global,' Hong Kong should strengthen and expand its professional services and its capability in funding cross-border infrastructure programs," he said.

"And we see great potential to develop Hong Kong's role in major mainland-led economic initiatives like the 'One Belt, One Road' strategy and the establishment of the Asian Infrastructure Investment Bank."

selena@chinadailyhk.com

(HK Edition 04/24/2015 page8)