Hostname: page-component-cd9895bd7-q99xh Total loading time: 0 Render date: 2024-12-27T11:21:45.012Z Has data issue: false hasContentIssue false
  • English
  • Français

Hong Kong's Post-1997 Institutional Crisis: Problems of Governance and Institutional Incompatibility

Published online by Cambridge University Press:  24 March 2016

Anthony B. L. Cheung
Get access Rights & Permissions [Opens in a new window]

Abstract

The protest by over half a million people on July 1, 2003, unleashed the most serious crisis of governance in Hong Kong since its retrocession to China in 1997. Triggered by the government's attempt to legislate new national security legislation, it exposed more fundamental institutional defects of an increasingly weakened government. This article puts forward two arguments. First, the political logic of the pre-1997 period was not compatible with the post-1997 political environment and public sentiment, resulting in a widening cognitive gap between government and people. Second, the former colonial administration, despite its non-democratic nature, was able to secure sufficient public acquiescence and acceptance through economic performance and service delivery. The new government was constrained by both economic and fiscal difficulties and unexpected social crises. A declining capacity to perform effectively had further eroded public support. Attempted reforms of the bureaucracy and the introduction of a new ministerial system had caused greater political-administrative disjunction and actually compounded the crisis of governance.

Keywords

executive-led systeminstitutional relationshipsstate capacitypolicy and implementation failurescrisis managementprobity and accountability shortfallnational security legislationconfidence in political institutionsconstitutional reformdemocracy substitution
Type
Articles
Information
Journal of East Asian Studies , Volume 5 , Issue 1 , April 2005 , pp. 135 - 167
Copyright
Copyright © East Asia Institute 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Notes

1. Harris, Peter, Hong Kong: A Study in Bureaucratic Politics (Hong Kong: Heinemann Asia, 1978), pp. 53–61.Google Scholar

2. A network of consultative and advisory bodies existed, giving the sense of what some observers described as “government by discussion.” See Endacott, George Beer, Government and People in Hong Kong, 1841–1962: A Constitutional History (Hong Kong: Hong Kong University Press, 1964), p. 229. But its importance lay more with enabling the colonial rulers to co-opt “the political forces, often represented by elite groups, into an administrative decisionmaking body, thus achieving some level of elite integration.” See King, Ambrose Yeo-chi, “Administrative Absorption of Politics in Hong Kong: Emphasis on the Grass Roots Level,” in King, Ambrose Yeo-chi and Lee, Rance Pui-leung, eds., Social Life and Development in Hong Kong (Hong Kong: Chinese University Press, 1981), p. 130. Through the process of “administrative absorption of politics,” the colonial bureaucracy as ruler was able not only to direct the affairs of government, but also to integrate strategic elite interests similar to what mainstream political parties do in competitive politics.Google Scholar

3. On the rare occasions when “outsiders” were brought in to fill the top posts, they were appointed on civil service contracts.Google Scholar

4. On administrative absorption, see King, , “Administrative Absorption of Politics in Hong Kong.” Google Scholar

5. On executive-led paradigms, see Cheung, Anthony Bing-leung, “Rebureaucratization of Politics in Hong Kong: Prospects After 1997,” Asian Survey 37, no. 8 (1997): 720–737.Google Scholar

6. Cheung, Anthony Bing-leung, “The Changing Political System: Executive-led Government or ‘Disabled’ Governance?” in Lau, Siu-kai, ed., The First Tung Chee-hwa Administration: The First Five Years of the Hong Kong Special Administrative Region (Hong Kong: Chinese University Press, 2002), pp. 41–68.Google Scholar

7. Scott, Ian, “The Disarticulation of Hong Kong's Post-Handover Political System,” China Journal 43 (January 2000): 29.Google Scholar

8. Even before he took up office, he set up three advisory teams in early 1997 to assist him in formulating policy reform proposals on economic restructuring, education, housing, and elderly services. See also his speech “A Future of Excellence and Prosperity for All,” made at the ceremony to celebrate the establishment of the Hong Kong Special Administrative Region on July 1, 1997, available at http://www.info.gov.hk/isd/speech/0701ceho.htm.Google Scholar

9. Government-appointed seats on district councils (formerly called district boards) were abolished by Governor Patten in 1994 as part of his political reform package, much criticized by China.Google Scholar

10. He said in his July 1, 1997, speech: “Hong Kong can be proud of its achievement over the past thirty years. There is no question about this. Nevertheless, we have to be alert to the challenges which lie ahead… . Beneath the surface of prosperity, there are insidious threats which are taxing our courage and determination.” Chee-hwa, Tung, “A Future of Excellence and Prosperity for All,” p. 13.Google Scholar

11. On the POAS, see Chee-hwa, Tung, “CE on Principal Officials Accountability System,” speech at the Legislative Council, April 17, 2002, available at http://www1.info.gov.hk/gia/general/200204/17/0417216.htm.Google Scholar

12. Former financial secretary Antony Leung and former secretary for security Regina Ip.Google Scholar

13. Namely Frederick Ma, secretary for financial services and the treasury (over the penny stocks affair), Yeoh Eng-kiong, secretary for health, welfare, and food (over the SARS outbreak), Patrick Ho, secretary for home affairs (over the Equal Opportunities Commission scandal), and Arthur Li, secretary for education and manpower (over the cutting of university funding).Google Scholar

14. As vividly illustrated by the Liberal Party's refusal to support the car registration tax proposed by the financial secretary's 2003–2004 budget and the controversial national security bill after the outburst of antigovernment protests on July 1, 2003.Google Scholar

15. As revealed in leaked allegations in March 2003 surrounding Antony Leung's failure to declare interest in his prebudget car purchase, which subsequently brought about his downfall and resignation, and once again rehearsed in an exchange between new financial secretary Henry Tang and the education secretary over education budget cuts in November 2003.Google Scholar

16. The prodemocracy parties, which together enjoyed the largest share of popular vote, were being deliberately marginalized by the government..Google Scholar

17. These new elements included notably the “Article 45 Concern Group,” comprising moderate barristers; a populist former radio talk-show host; and a radical Marxist.Google Scholar

18. As a result, the government was widely blamed for its incompetence in turning the economy around and combating rising unemployment (which still stood at 7.3 percent in December 2003 [“FS' transcript on unemployment rate,” Hong Kong SAR Information Centre press release, January 19, 2004, available at http://www.info.gov.hk/gia/general/200401/19/0119211.htm]), already an improvement over a previous peak of 8.8 percent. The fall of the property market by some 70 percent (Hong Kong Economic Times, October 6, 2003, p. A3 [in Chinese]) had created a highly disgruntled middle class dragged down by so-called negative equity.Google Scholar

19. After the protests and the resignation of the Liberal Party chairman from Exco, the government postponed the resumption of a second reading of the national security bill. In September 2003 the government finally decided to withdraw the bill from the legislative process.Google Scholar

20. Hospital Authority Review Panel, Report of the Hospital Authority Review Panel on the SARS Outbreak (Hong Kong: Hospital Authority, September 2003), para. 2.32.Google Scholar

21. Since November 1998, the audit director has published repeated value-for-money audit reports accusing outdoor staff of several departments (such as housing, water supplies, urban services, and regional services) of overreporting their working hours and being poorly supervised. Bureaucratic red tape and management shortcomings were also criticized.Google Scholar

22. In the early years of the handover, several top civil servants were found abusing their discretionary power. More seriously in 1999, a former commissioner of inland revenue was dismissed for failing to report that he had an interest in his wife's taxation firm and had personally handled some of the tax cases dealt with by that firm. In January 2004 a former chief building services surveyor of the Department of Housing in charge of awarding building services contracts was found guilty by the court of corrupt practices involving millions of dollars. In March 2003, then–financial secretary Antony Leung was involved in a controversial prebudget car purchase, ahead of his budget speech in which he proposed to increase car registration tax. This was dubbed the “car-gate” affair.Google Scholar

23. In the event the Housing Authority chairperson resigned prior to the vote, setting the first-ever precedent in local administrative history for someone to take responsibility for policy blunder and maladministration.Google Scholar

24. Independent Panel of Inquiry, Report of the Independent Panel of Inquiry on the Harbour Fest , May 17, 2004, available at http://www.info.gov.hk/info/harbourfest.Google Scholar

25. Rowse himself was absent from Hong Kong for sixty days in the three months leading up to the start of the four-week series of concerts.Google Scholar

26. Kaufmann, Daniel, Kraay, Aart, and Mastruzzi, Massimo, Governance Indicators for 1996–2002 (World Bank: World Bank Institute, 2003), available at http://www.worldbank.org/wbi/governance/govdata2002.Google Scholar

27. These were polls conducted regularly by three universities (the University of Hong Kong, the Chinese University of Hong Kong, and Lingnan University—Lingnan), an independent think tank (the Hong Kong Policy Research Institute), and the government's Home Affairs Bureau.Google Scholar

28. The provisional Legco was selected by a selection committee set up by the SAR preparatory committee under the National People's Congress of China. The same selection committee selected Tung in December 1996 as the first chief executive.Google Scholar

29. Bureau, Security, Proposals to Implement Article 23 of the Basic Law: Consultation Document (Hong Kong, September 2002), Summary, paras. 3–4.Google Scholar

30. Former foreign minister Tang Jiaxun, subsequently state councilor in charge of Hong Kong affairs, had on the record questioned how meaningful Hong Kong's reunification with China would be without the legislation of Article 23. (See newspaper reports on his comments when accompanying President Hu Jintao during an official visit to Mongolia in June 2003, e.g., Hong Kong Economic Journal , June 6, 2003, p. 7 [in Chinese].) Google Scholar

31. Without any prior fanfare, however, people's power had once again made its force felt in the generally lackluster district council elections. The massive voter turnout recorded—at 44 percent compared with 35 percent in 1999—meant that many who previously did not take part in lackluster district elections (such as some middle-class professionals) and newly registered young voters held the swing in the elections. The democrats had an unexpected landslide victory while the DAB lost three out of four seats contested.Google Scholar

32. The number of participants was 530,000 according to the organizers and 200,000 according to police estimate.Google Scholar

33. Chung, Robert and Man, Chan, “Who Could Have Mobilized 50 Million People to the Street?” Hong Kong Economic Journal , July 15, 2003, p. 9 (in Chinese).Google Scholar

34. Following an earlier call from Chen Zuoer, deputy director of the Hong Kong and Macao Affairs Office, to urge middle-class professionals to play a more active part in politics (“Chen Zuoer Calling upon Middle Class and Professional People to Take Part in Politics,” Hong Kong Economic Journal , September 16, 2003, p. 5 [in Chinese]), President Hu Jintao asked business tycoons to better liaise and unite with the middle class when he met their delegation in Beijing in September 2003 (“Reviving the Economy to Attract Foreign Investment Requires Stability, Hu Jintao Calls upon Business Sector to Support Tung,” The Sun, September 28, 2003, Hong Kong, p. A4 [in Chinese]).Google Scholar

35. Chee-hwa, Tung, “Seizing Opportunities for Development: Promoting People-Based Governance,” address by the chief executive at the Legislative Council meeting (Hong Kong: Government Logistics Department, January 7, 2004), paras. 72–73.Google Scholar

36. For example, well-known barristers had formed themselves into the Article 45 Concern Group to lobby for constitutional reform. Academics had engaged actively in various campaigns for democracy. In a conference organized by three independent think tanks (the Hong Kong Policy Research Institute, Civic Exchange, and SynergyNet) in September 2003, over 400 participants, predominantly of middle-class professional background, pondered seriously the future of Hong Kong and urged government reforms.Google Scholar

37. For the official version of the four mainland legal experts' comments, see “Legal Experts Commenting on the Development of Hong Kong's Political System,” reported at People's Website (China), December 5, 2003 (in Chinese), available at http://www.people.com.cn/gb/shizheng/2229016.html. During a subsequent visit to Hong Kong to attend a seminar organized by the pro-Beijing think tank One Country Two Systems Research Centre in January 2004, Xiao Weiyun—one of the four legal experts who previously co-convened the Political System subgroup of the Basic Law Drafting Committee—claimed that the ultimate goal of election by universal suffrage definitely should not come as quickly as in the year 2007. It could possibly apply to 2027, 2037, or even a much more distant 2047, which is the expiry date of the fifty-year “no change” undertaking by the PRC government in the 1984 Sino-British Joint Declaration regarding Hong Kong's future. He further made the point that the central government has not only to interfere in any matters relating to constitutional arrangements of Hong Kong, but also to intervene totally in such matters. “Xiao Weiyun: Hong Kong Has Set Up Task Force, Political Reform Has Been Started—07 Is Too Early, Possibly 2027,” Hong Kong Economic Times, January 19, 2003, p. A4 (in Chinese).Google Scholar

38. Annex 1 and Annex 2 respectively of the Basic Law.Google Scholar

39. Xinhua News Agency, “Top Legislature Interprets Hong Kong Basic Law,” April 6, 2004, available at http://www.china.org.cn/english/2004/Apr/92286.htm; Xinhua News Agency, “NPC Rules on Hong Kong Electoral Reform,” April 26, 2004, available at http://www.china.org.cn/english/2004/Apr/94081.htm.Google Scholar

40. For example, Hin-chi, Tsang, a Hong Kong delegate to the Standing Committee of the National People's Congress, said on January 30, 2004, that some “political forces” in Hong Kong are trying to make the city independent by calling for an early introduction of universal suffrage. “Those political forces … want to seize power through general elections and turn Hong Kong into an independent or semi-independent political polity which undermines the ‘one country.’” Cheung, Gary, “Beijing Adviser Hits HK Drive for Independence,” South China Morning Post , January 31, 2004, p. 2. On the same day, in an interview with Bauhinia magazine, the official publication of the central government's liaison office in the SAR, Zhou Nan, the former director of Xinhua News Agency's Hong Kong branch, the predecessor of the liaison office, accused “a minority of people” of trying to hijack public anger over the economic downturn, saying “they tried to incite the masses and dreamt of toppling the Basic Law in the name of ‘public opinion.’” Leung, Ambrose, “Democracy Seekers Accused of Trying to ‘Topple Basic Law,’” South China Morning Post, January 31, 2004, p. 2. Zhu Yucheng, director of the State Council's newly established Institute of Hong Kong and Macao Affairs, accused some democrats of trying “to turn Hong Kong into an independent or semi-independent political entity and [to] turn ‘high degree of autonomy’ into ‘full autonomy.’” Leung, Ambrose, “Democrats Accused of Seeking Full Autonomy; Some People Have Twisted the Basic Law, Says Think-Tank Chief,” South China Morning Post, May 16, 2004, p. 1.Google Scholar

41. The Democratic Party, the leading prodemocracy party, scored an 80 percent success rate in the seats it contested in the district council elections. Hong Kong Economic Times , November 25, 2003, p. A18 (in Chinese).Google Scholar

42. Since mid-February 2004, the mainland press, including the party organ People's Daily, had kicked off a debate on patriotism, citing the late leader Deng Xiaoping's 1984 dictum that the concept of “Hong Kong people governing Hong Kong” meant that the main body of the governing group had to be patriots who should respect national interest and sincerely uphold the nation's resumption of the exercise of sovereignty. See Xinhua News Agency, “Principles for Hong Kong's Prosperity, Stability,” China Daily Website , February 20, 2004, available at http://www.chinadaily.com.cn/english/doc/2004-02/20/content_307733.htm; and China Daily (Hong Kong edition) editorial, “Why It's Vital to Recall What Deng Said About Hong Kong,” February 20, 2004, available at http://www.chinadaily.com.cn/english/doc/2004-02/20/content_307613.htm. This offensive was clearly geared toward discrediting the nationalist credentials of the prodemocracy politicians.Google Scholar

43. In the run-up to the July 1, 2004 march, both the prodemocracy camp and mainland officials expressed the desire to have more mutual communication. Martin Lee, a former Democratic Party chairman, made a motion in Legco calling for cooperation with the central government, which was passed with the support of pro-Beijing legislators. However, a key member of the Democratic Party, Law Chi-kwong, was barred from entering Shanghai in August 2004 on an academic trip. His home return permit was also confiscated.Google Scholar