Talent Pass
Three of Hong Kong’s highest-scoring students in the recent DSE examinations attended the RTHK studio last Monday to discuss their results and aspirations for the future. The young men, all from Diocesan Boys’ School, impressed with their appearance and demeanour. They were articulate and clear about next steps for study and employment. Two were going into medicine, would attend university in Hong Kong then practice here after graduation. They were keen to pay back to the community that had nurtured them. The third was also clear about future study subject, still choosing between a local and a UK university.
It was encouraging that all three saw their future in Hong Kong, we want our best and brightest to stay home. But at the same time, we want them to have the broader international perspective that can only come from a long term stay overseas, whether for study or work experience early in their career. However the more successful we are in persuading our young people to get that international exposure, the greater the risk that other economies will attract them away. We must walk a fine line.
Hong Kong now has a plethora of programmes to attract talent and capital from anywhere in the world. The main ones are the Top Talent Pass Scheme, the Immigration Arrangements for Non-local Graduates, the Quality Migrant Admission Scheme, and the Admission Scheme for Mainland Talents and Professionals. There is also the relatively new Capital Investment Entrance Scheme.
As can be seen, only one of these explicitly targets mainlanders. But all the signs are that qualified mainlanders are also applying successfully under the other schemes. It has been estimated that some 90 per cent of those gaining approval are coming direct from the mainland or are mainlanders already located in other economies. According to the latest information on the CIES, the two biggest source countries for applicants are Vanuatu and Guinea-Bissau who make up some 80 per cent of the total. I mean no disrespect to those two countries when I say this seems unlikely to be the whole story.
Let me say right away that I see absolutely nothing wrong with this pattern. It is natural in every country for the most talented to congregate in the major cities for business, education, professional services, arts and so on. In the UK it is London and to a lesser extent Birmingham and Manchester, in France it is Paris plus Lyon and Marseilles, in Italy Rome and Milan. The USA and Germany both spread the activities among several different cities and because of its size so does China. We are right up there with Beijing and Shanghai and it is normal for us to attract our share of the best and brightest.
Moreover since many of the arriving mainlanders already have the overseas exposure which we need to maintain our cosmopolitan flavour, then they fit right in.
So this is good, but it is not good enough. Hong Kong’s role, as recently confirmed by our president Xi Jinping, is to be China’s international city. The tourism figures for 2023 lay bare just how far we are falling short in this respect. Of the almost 34 million visitors we attracted last year, 80 per cent were from greater China, only six per cent were from western countries. This imbalance is beginning to correct itself in 2024, but far too slowly.
We all know the reasons for the sluggish recovery. Most immediately, we were the last major tourism destination to drop our Covid controls. It was only in March last year that the requirement to mask up in public was cancelled. Moreover, memories of our stringent regime during the pandemic will take some time to fade. Many Westerners left Hong Kong during the three years and either returned to their home country or relocated elsewhere in Asia. For geopolitical reasons western countries are down on China at the moment and of course that affects us too. Incredibly some even maintain travel warnings to their own citizens that Hong Kong is dangerous and prospective visitors should be cautious.
We must waste no time in getting the true story out there. In addition to the traditional business advantages of our city, with which we are all familiar and have plugged relentlessly, Hong Kong is a very safe place to live, work and visit. It has an extraordinary and beautiful landscape. And importantly from the perspective of the international business community, it is English speaking. It is possible to survive here perfectly well for half a century with only a smattering of the local lingo. As proof, I offer myself as exhibit A.
But there are also areas where we could do better. We have set no minimum size for residential housing units and are still building far too many small ones. Nobody is going to settle here with a family in a flat of 2 – 300 square feet, when houses 10 times that size are available in their own countries, and cheaper too. Education here is very expensive. We used to subsidise the English Schools Foundation by an amount which equated to the cost of educating a local child in a local school. Some years ago, for reasons which are still a mystery to me, the arrangement was scrapped. What can taxpaying foreign companies and senior executives expect for their money now?
Above all we must focus our promotion efforts on North America, Europe and Australasia. We must restore the international balance to fulfil our national duty. This is a task for the whole community, we cannot just leave it to the Tourism Board, The Trade Development Council and InvestHK. We all have to get out there using all the tools at our collective disposal.