Maggie’s folly, world’s glory

Yesterday was the tenth anniversary of Hong Kong’s handover to China. In 1997, I was working for the United Nations in Geneva, Switzerland. Like many others around the world who were concerned with history in the making, I took half a day off and rushed home to watch the live telecast. And again echoing many other political observers and analysts, my feelings were mixed when, accompanied by “God Save the Queen”, the British Union Jack was lowered, followed a second later by the raising of the “Five-Star Red Flag” to the tune of the “March of the Volunteer Army” (the Chinese national anthem).

Reversion vs. Handover

China preferred the term “reversion”, while Britain employed the term “handover” to describe Hong Kong’s transfer from British to Chinese hands. Actually, it could be said that both sides were right in their assertion. Historically, Hong Kong Island was permanently ceded by China to Britain in the Treaty of Nanking of 1842 after the Opium War, while Kowloon Peninsula (south of Boundary Street in what is bustling Mong Kok today) was also permanently ceded in the Convention of Peking in 1860. As such, they became sovereign British soils.

Only the New Territories north of Boundary Street were “leased” to Britain in 1898 for 99 years. But few lay persons paid attention to the fine print of the early Anglo-Chinese political settlements on Hong Kong. As such, legalistically, Britain was only obliged to “revert” New Territories to China in 1997, and legislation was actually passed in Westminster to “cede” the rest of Hong Kong to China. Both sides finally settled on the term “transfer of sovereignty” of Hong Kong.

However, during the Sino-British negotiations over the future of Hong Kong in the early 1980’s, the then British Prime Minister, Margaret Thatcher (variously nicknamed the Iron Lady or Maggie), as was characteristic of her visionary moves, decided to transfer Hong Kong as a whole back to China, so as to preserve the overall prosperity of Hong Kong. This was especially surprising as it came in the wake of Britain’s victory in the Falklands War, in which Britain sent a huge armada to wrest back British sovereignty in the tiny South Atlantic archipelago which was occupied by Argentina.

Some pundits called this change in British attitude “Maggie’s Folly” and attributed it to Mrs. Thatcher’s gratitude after her famous “misstep” when she tripped while descending outside the Great Hall of the People after emerging from talks with Deng Xiaoping. She was helped to her feet by Deng.

Success Not Due to Luck

Right before coming back to Sabah, I stayed in Hong Kong for over a year, and I have visited it many times before and since. I never failed to be impressed by Hong Kong’s skyrocketing achievements, and I can categorically stress that Hong Kong’s success today is definitely not due to luck alone. Hong Kong people’s workaholic attitude is renowned around the world. Many shops and offices operate 24 hours a day, 7 days a week.

Consistently over the years, Hong Kong has been ranked as the world’s freest, most efficient economy, often even surpassing similarly super-performing Singapore. And Hong Kong deserves every bit of its success. Nevertheless, in my opinion, there is something else which catapults Hong Kong to this enviable apex.

Despite its current glory, Hong Kong was not always in its best shape. Just like me, many of you might have grown up awash in the torrents of Hong Kong films. I am sure you can recall scenes in Hong Kong movies concerning ’60s and ’70s corrupt cops, such as the “Four Big Inspectors”, who wallowed in ill-begotten gains, openly running brothels, gambling dens and drug pens in the streets of Mong Kok, terrorising the lives of normal folks. They were based on real-life stories.

ICAC to the Rescue

All these came to an almost abrupt end with the setting up of the famous Independent Commission Against Corruption (ICAC), which is directly answerable to the Governor (now the Chief Executive) of Hong Kong. Without fear or favour, ICAC was equipped with broad powers of investigation, arrest and prosecution. You might have seen ICAC in action in Hong Kong TV series as well, which were similarly based on real-life cases. Ikan bilis and big sharks alike were targeted for investigations.

In fact, one of ICAC’s first high-profile cases was of a former high-ranking official in the colonial administration who fled to Britain but was extradited back to Hong Kong and successfully convicted. Recently, the father of Eason Chan, the famous Hong Kong idol singer, who was the chief engineer of Hong Kong’s housing authority, was convicted of receiving bribes in return for approving some shoddy construction works.

The acronym ICAC strikes fear in the wicked hearts of corrupt officials and bribe-givers alike, and it even reverberates across the seas. Some of my younger relatives in Sabah, when asked of their future career choices, answered unequivocally, “ICAC! Catch the bad guys!” no doubt influenced by Hong Kong TV series, but, for once, beneficially. Hong Kong now ranks consistently among the least corrupt states in Transparency International’s corruption perception index.

Phoenix Reborn

Hong Kong people’s resilience in times of hardship is also legendary. After the 1997 Asian financial crisis, many Hong Kong house owners involuntarily became “negative asset” holders. The market values of their properties fell below the purchase prices, so the owners had to continue to service their debts to banks even if they sold their properties, and even that was only possible if they could find buyers, who were hard to come by.

Coupled with the handover to China, with its attendant comparatively restrictive political structure, many observers predicted doom for Hong Kong. But I witnessed firsthand how Hong Kong people fought on to restore the glow of the Pearl of the East. Many of my Hong Kong friends took on a second or even third part-time job, besides attending evening or weekend classes to update their skills or even learn a complete new set of skills, so as to value-add themselves in anticipation of switching to more demanding but better-paying jobs. Nobody took no for an answer. Consequently, Hong Kong successfully transformed itself up the value chain, and is today once again enjoying a booming economy.

And there have always been Malaysian and Sabahan contributions in Hong Kong’s prosperity as well. Robert Kuok based part of its large business empire in Hong Kong. Michelle Yeoh, Miss “Malaysia, Truly Asia”, launched her acting career in Hong Kong. And our very own Andrew Sheng from Sandakan was for many years the chief watchdog (in a complimentary sense) for Hong Kong’s stock market.

With economic well-being at hand, it is only natural that the people of Hong Kong increasingly demand a larger political say in how they run their territory. Huge rallies in favour of political liberalisation have been taking place every first of July. China is well advised to respond prudently to the ascendant voices of Hong Kong, with the best interest of the territory in mind. For Hong Kong’s continued well-being is a showcase not only for China’s “One Country, Two Systems”, but also a role model for other aspiring developing economies.

Well done, Hong Kong!