The recently released AmCham HK 2022 Business Sentiment Survey report has highlighted concerns that a number of its members in Hong Kong are facing. The report has detailed key areas that its members believe that Hong Kong needs to address in order for it to maintain its competitive edge -two years into the COVID-19 pandemic.
“AmCham is committed to supporting its membership and the broader international business community to voice concerns; We have a long-standing role as a partner to the government to advocate for change in public policy that will help Hong Kong thrive as a global business hub, said AmCham President Tara Joseph.
“Given the challenges of the past few years, it is now more important than ever to remain vocal in areas that are relevant to Hong Kong’s sustainable access,”
added Joseph.
Changing Sentiments
The report summarised that though Hong Kong still holds many business opportunities, there are an array of issues, particularly travel measures that are increasingly out of step with international practice. Hong Kong’s international travel restrictions to prevent COVID-19 from entering the city have long weighed heavily on both company and professional sentiments.
Hefty quarantine rules and travel restrictions continue to cause significant disruptions to businesses in the city with 30% of members having to delay new investments and similarly struggling to fill senior executive roles. These restrictions are also affecting members at a personal level when it comes to how they feel about living in Hong Kong. Over 40% of members indicated they are more likely to leave the city on a personal level whilst 25% of businesses indicated they too are thinking of departing from Hong Kong.
Though Hong Kong remains competitive in part due to its role as a gateway to the Greater Bay Area (GBA) and importance as a regional business hub, 80% of AmCham business members now perceive Singapore as the biggest threat to the city in part thanks to its strategic location, pro-business approach and eased travel restrictions.
Though many companies in the GBA are optimistic about business opportunities over the next 3 years, members cite that regulatory uncertainties and the cross border movement of people are the top challenges which need to be addressed in order for Hong Kong to cement its status as Asia's World City.
“I hope this survey will serve as a launch point for discussion and collaboration to make Hong Kong a top destination for businesses from across the world. Hong Kong has always renewed and refocused after challenging times, and hopefully business, government and residents can work together to surmount challenges,” said Joseph.
