Economist.com Cities Guide: Hong Kong Briefing - August 2005

News this month

Eavesdropping rules

Donald Tsang, Hong Kong's chief executive, is to regulate eavesdropping by law enforcement agencies. The covert surveillance techniques used by the Independent Commission Against Corruption came under fire earlier this year, when two judges ruled in separate cases that evidence acquired by unauthorised eavesdropping was inadmissible and contravened Hong Kong's Basic Law.

Mr Tsang's move will enable wire-tapping by law enforcement agencies to proceed unchallenged while proper legislation is put in place. The Bar Association criticised his decision, claiming that Hong Kong's chief executive does not have the power to make law. Other critics complain that regulating eavesdropping will simply allow an illegal practice to continue. Hong Kong's mini-constitution states that "the freedom and privacy of communication of Hong Kong residents shall be protected by law".

Economic growth

Hong Kong’s economic recovery continued during the first half of the year, despite higher oil prices and interest rates, upward pressure on China’s yuan and the reimposition of quotas on textile exports. Retail sales grew a provisional 6.2% year on year to HK$16.6 billion (US$2.1 billion) in June, bringing total growth for the first six months to 7.9% compared to a 13.4% increase in the same period in 2004. Meanwhile, the value of merchandise exports—of which re-exports from mainland China constitute about 95%—continued to show robust growth, rising 11.6% on the same period in 2004.

Analysts believe the opening of new attractions (such as Hong Kong Disneyland) and events such as the World Trade Organisation’s ministerial meeting will keep Hong Kong's tourism industry buoyant in the second half of 2005 and counter any weakening of exports. The government remains confident of achieving the target of 4.5-5.5% growth outlined in the March budget of Henry Tang, the financial secretary.

Kissel and tell

In a city where expatriates have tended to enjoy immunity from violent crime, the trial of an American woman charged with murdering her banker husband is the talk of the town. Nancy Kissel, from Michigan, admits she killed Robert Kissel in November 2003, but contests it was done in the heat of a violent argument after years of abuse at the hands of the Merrill Lynch banker. Mrs Kissel is alleged to have drugged her husband with a sedative-laced milkshake, bludgeoned him to death, rolled up the body in a rug and then stored it in a store room beneath their flat where it was found five days later.

The trial has all the hallmarks of a Hollywood thriller, with allegations of infidelity, violence and drug abuse, and a cast including a private detective, a television repair man, a Filipina maid and, depending on your view, a humiliated wife or a calculating murderess. If convicted, Mrs Kissel faces life imprisonment. The trial is expected to run until the end of August.

Disney dogged by difficulties

With preparations for the opening of Hong Kong Disneyland in their final stages, the attraction is battling a new problem: wild dogs. The South China Morning Post reports that hundreds of canines are descending on the park at night in search of food. The attraction's management killed about 40 of the animals, but following howls of protest Disney has now apparently resolved to find a more humane solution.

The canine invasion is the latest in a string of problems to have beset the US$3.5 billion park since its inception in December 1999. Toxic mud, the illegal removal of river rocks, noisy fireworks and shark’s fin soup have all caused controversy. But now, with the park due to open on September 12th, attention is focusing on the project's merits: the 23,000 jobs, the fillip to the construction industry and the pulling power those big black ears exert over millions of increasingly affluent tourists from the mainland.

Disaster hub for British nationals

The British Consulate in Hong Kong has announced it will base four regional rapid-deployment teams in the city. The eight-person teams will provide emergency consular services to British nationals in the event of major disasters like the Boxing Day tsunami and the Bali bombing. According to the South China Morning Post, the teams will be able to respond in about six hours, compared with the 24 hours it currently takes to mobilise resources from Britain. The US Consulate does not intend to follow suit, preferring in the event of a local emergency to co-ordinate resources from within its existing network of embassies and consulates.

Catch if you can

August 2005

“French Visions of China”

Until October 30th 2005

2005 has been designated “Year of France” in China, and Hong Kong has played host to a variety of cultural events aimed at strengthening the ties between the two countries. This exhibition celebrates the longstanding relationship, with some 40 works from the permanent collection of the Hong Kong Museum of Art. These highlight France's interaction with China from the 18th century to the present day. The display features a series of 18th-century copper engravings entitled “The Conquest of the Dzungars and the Muslims by Emperor Qianlong”, sketched by European artists at the emperor’s court.

Hong Kong Museum of Art, 10 Salisbury Rd, Tsim Sha Tsui. Tel: +852 2721-0116. Open: daily, 10am to 6pm. For more details visit the museum’s website.

More from the Hong Kong cultural calendar