HON KONG

Background:

Occupied by the UK in 1841, Hong Kong was formally ceded by China the following year; various adjacent lands were added later in the 19th century. Pursuant to an agreement signed by China and the UK on 19 December 1984, Hong Kong became the Hong Kong Special Administrative Region (SAR) of the People's Republic of China on 1 July 1997. In this agreement, China promised that, under its "one country, two systems" formula, China's socialist economic system would not be imposed on Hong Kong and that Hong Kong would enjoy a high degree of autonomy in all matters except foreign and defense affairs for the next 50 years.

Geography ::HONG KONG
Location:

Eastern Asia, bordering the South China Sea and China
Geographic coordinates:

22 15 N, 114 10 E
Map references:

Southeast Asia
Area:

total: 1,104 sq km
country comparison to the world: 183
land: 1,054 sq km
water: 50 sq km
Area - comparative:

six times the size of Washington, DC
Land boundaries:

total: 30 km
regional border: China 30 km
Coastline:

733 km
Maritime claims:

territorial sea: 3 nm
Climate:

Current Weather
subtropical monsoon; cool and humid in winter, hot and rainy from spring through summer, warm and sunny in fall
Terrain:

hilly to mountainous with steep slopes; lowlands in north
Elevation extremes:

lowest point: South China Sea 0 m
highest point: Tai Mo Shan 958 m
Natural resources:

outstanding deepwater harbor, feldspar
Land use:

arable land: 5.05%
permanent crops: 1.01%
other: 93.94% (2001)
Irrigated land:

20 sq km (1998 est.)
Natural hazards:

occasional typhoons
Environment - current issues:

air and water pollution from rapid urbanization
Environment - international agreements:

party to: Marine Dumping (associate member), Ship Pollution (associate member)
Geography - note:

more than 200 islands

People ::HONG KONG
Population:

7,055,071 (July 2010 est.)
country comparison to the world: 101
Age structure:

0-14 years: 12.2% (male 450,833/female 411,997)
15-64 years: 74.6% (male 2,551,256/female 2,713,532)
65 years and over: 13.1% (male 434,090/female 493,363) (2010 est.)
Median age:

total: 42.8 years
male: 42.4 years
female: 43.2 years (2010 est.)
Population growth rate:

0.504% (2010 est.)
country comparison to the world: 155
Birth rate:

7.42 births/1,000 population (2010 est.)
country comparison to the world: 223
Death rate:

6.76 deaths/1,000 population (July 2010 est.)
country comparison to the world: 141
Net migration rate:

4.38 migrant(s)/1,000 population (2010 est.)
country comparison to the world: 24
Urbanization:

urban population: 100% of total population (2008)
rate of urbanization: 1% annual rate of change (2005-10 est.)
Sex ratio:

at birth: 1.078 male(s)/female
under 15 years: 1.09 male(s)/female
15-64 years: 0.94 male(s)/female
65 years and over: 0.88 male(s)/female
total population: 0.95 male(s)/female (2010 est.)
Infant mortality rate:

total: 2.92 deaths/1,000 live births
country comparison to the world: 220
male: 3.1 deaths/1,000 live births
female: 2.73 deaths/1,000 live births (2010 est.)
Life expectancy at birth:

total population: 81.86 years
country comparison to the world: 5
male: 79.16 years
female: 84.79 years (2010 est.)
Total fertility rate:

1.04 children born/woman (2010 est.)
country comparison to the world: 222
HIV/AIDS - adult prevalence rate:

0.1% (2003 est.)
country comparison to the world: 152
HIV/AIDS - people living with HIV/AIDS:

2,600 (2003 est.)
country comparison to the world: 134
HIV/AIDS - deaths:

fewer than 200 (2003 est.)
country comparison to the world: 112
Nationality:

noun: Chinese/Hong Konger
adjective: Chinese/Hong Kong
Ethnic groups:

Chinese 95%, Filipino 1.6%, Indonesian 1.3%, other 2.1% (2006 census)
Religions:

eclectic mixture of local religions 90%, Christian 10%
Languages:

Chinese (Cantonese) 89.2% (official), other Chinese dialects 6.4%, English 3.2% (official), other 1.2% (2001 census)
Literacy:

definition: age 15 and over has ever attended school
total population: 93.5%
male: 96.9%
female: 89.6% (2002)
School life expectancy (primary to tertiary education):

total: 14 years
male: 14 years
female: 13 years (2006)
Education expenditures:

3.9% of GDP (2006)
country comparison to the world: 108

Government ::HONG KONG
Country name:

conventional long form: Hong Kong Special Administrative Region
conventional short form: Hong Kong
local long form: Xianggang Tebie Xingzhengqu
local short form: Xianggang
abbreviation: HK
Dependency status:

special administrative region of China
Government type:

limited democracy
Administrative divisions:

none (special administrative region of China)
Independence:

none (special administrative region of China)
National holiday:

National Day (Anniversary of the Founding of the People's Republic of China), 1 October (1949); note - 1 July 1997 is celebrated as Hong Kong Special Administrative Region Establishment Day
Constitution:

Basic Law, approved in March 1990 by China's National People's Congress, is Hong Kong's charter
Legal system:

based on English common law
Suffrage:

direct election - 18 years of age for half the legislature and a majority of seats in 18 district councils; universal for permanent residents living in the territory of Hong Kong for the past seven years
indirect election - limited to about 220,000 members of functional constituencies for the other half of the legislature and an 800-member election committee for the chief executive drawn from broad sectoral groupings, central government bodies, and municipal organizations
Executive branch:

chief of state: President of China HU Jintao (since 15 March 2003)
head of government: Chief Executive Donald TSANG Yam-kuen (since 24 June 2005)
cabinet: Executive Council or ExCo consists of 15 official members and 14 non-official members
(For more information visit the World Leaders website )
elections: chief executive elected for five-year term by 800-member electoral committee; election last held on 25 March 2007 (next to be held in 2012)
note: the LegCo voted in June 2010 to expand the electoral committee to 1,200 seats for the next election
election results: Donald TSANG elected chief executive receiving 84.1% of the vote of the election committee; Alan LEONG Kah-kit received 15.9%
Legislative branch:

unicameral Legislative Council or LegCo (60 seats; 30 members indirectly elected by functional constituencies, 30 elected by popular vote; members serve four-year terms)
note: the LegCo voted in June 2010 to expand to 70 seats for the next election; the measure is subject to approval by the National People's Congress Standing Committee and will require an amendment to Hong Kong's constitution; the 10 new seats will be chosen by popular vote
elections: last held on 7 September 2008 (next to be held in September 2012)
election results: percent of vote by party - pro-democracy 57%; pro-Beijing 40%, independent 3%; seats by parties - (pro-Beijing 35) DAB 13, Liberal Party 7, FTU 1, others 14; (pro-democracy 23) Democratic Party 8, Civic Party 5, CTU 3, League of Social Democrats 3, ADPL 2, The Frontier 1, NWSC 1; others 11; independents and non-voting LegCo president 2
Judicial branch:

Court of Final Appeal in the Hong Kong Special Administrative Region
Political parties and leaders:

parties: Association for Democracy and People's Livelihood or ADPL [LIU Sung Lee]; Civic Party [Audrey EU Yuet-mee]; Democratic Alliance for the Betterment and Progress of Hong Kong or DAB [TAM Yiu Cheng]; Democratic Party [Albert HO Chun-yan]; League of Social Democrats [Raymond WONG Yuk-man]; Liberal Party [Miriam LAU Kin-yee]; The Frontier (disbanded)
others: Confederation of Trade Unions or CTU; Federation of Trade Unions or FTU; Neighborhood and Workers Service Center or NWSC
note: political blocs include: pro-democracy - ADPL, Civic Party, Democratic Party, League of Social Democrats; pro-Beijing - DAB, Liberal Party, The Professional Forum (an informal group of three generally pro-government and pro-business LegCo members from functional constituencies and one independent elected from a geographic constituency); there is no political party ordinance, so there are no registered political parties; politically active groups register as societies or companies
Political pressure groups and leaders:

Chinese General Chamber of Commerce (pro-China); Chinese Manufacturers' Association of Hong Kong; Confederation of Trade Unions or CTU (pro-democracy) [LAU Chin-shek, president; LEE Cheuk-yan, general secretary]; Federation of Hong Kong Industries; Federation of Trade Unions or FTU (pro-China) [CHENG Yiu-tong, executive councilor]; Hong Kong Alliance in Support of the Patriotic Democratic Movement in China [Szeto WAH, chairman]; Hong Kong and Kowloon Trade Union Council (pro-Taiwan); Hong Kong General Chamber of Commerce; Hong Kong Professional Teachers' Union [CHEUNG Man-kwong, president]; Neighborhood and Workers' Service Center or NWSC [LEUNG Yiu-chung, LegCo member] (pro-democracy); Civic Act-up [Cyd HO Sau-lan, LegCo member] (pro-democracy)
International organization participation:

ADB, APEC, BIS, FATF, ICC, IHO, IMF, IMO (associate), IOC, ISO (correspondent), ITUC, UNWTO (associate), UPU, WCO, WFTU, WMO, WTO
Diplomatic representation in the US:

none (special administrative region of China); Hong Kong Economic and Trade Office carries out normal liaison and communication with the US Government and other US entities
representative: Donald TONG
office: 1520 18th Street NW, Washington, DC 20036
telephone: [1] 202 331-8947
FAX: [1] 202 331-0318
NKETO offices: New York, San Francisco
Diplomatic representation from the US:

chief of mission: Consul General Stephen M. YOUNG
consulate(s) general: 26 Garden Road, Hong Kong
mailing address: PSC 461, Box 1, FPO AP 96521-0006
telephone: [852] 2523-9011
FAX: [852] 2845-1598
Flag description:

red with a stylized, white, five-petal Bauhinia flower in the center; each petal contains a small, red, five-pointed star in its middle; the red color is the same as that on the Chinese flag and represents the motherland; the fragrant Bauhinia - developed in Hong Kong the late 19th century - has come to symbolize the region; the five stars echo those on the flag of China

Economy ::HONG KONG
Economy - overview:

Hong Kong has a free market economy highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown, but its increasing integration with China helped it recover from the downturn more quickly than many observers anticipated. Hong Kong over the past few years has become increasingly integrated with China through trade, tourism, and financial links. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese Renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 17.7 million in 2009, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. About 40% of the firms listed on the Hong Kong Stock Exchange are now mainland Chinese companies. These firms account for 60% of the Exchange's market capitalization and over 70% of turnover. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly and in 2009 accounted for more than 90% of the territory's GDP. Hong Kong's natural resources are limited, and food and raw materials must be imported. GDP growth averaged a strong 4% from 1989 to 2008. Hong Kong's GDP fell in 2009 as a result of the global financial crisis, but a recovery began in third quarter 2009. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.
GDP (purchasing power parity):

$301.8 billion (2009 est.)
country comparison to the world: 39
$310.5 billion (2008 est.)
$303.8 billion (2007 est.)
note: data are in 2009 US dollars
GDP (official exchange rate):

$210.7 billion (2009 est.)
GDP - real growth rate:

-2.8% (2009 est.)
country comparison to the world: 162
2.2% (2008 est.)
6.4% (2007 est.)
GDP - per capita (PPP):

$42,800 (2009 est.)
country comparison to the world: 15
$44,200 (2008 est.)
$43,500 (2007 est.)
note: data are in 2009 US dollars
GDP - composition by sector:

agriculture: 0.1%
industry: 8%
services: 91.9% (2009 est.)
Labor force:

3.695 million (2009 est.)
country comparison to the world: 91
Labor force - by occupation:

manufacturing: 6.1%
construction: 1.9%
wholesale and retail trade, restaurants, and hotels: 42.9%
financing, insurance, and real estate: 21.4%
transport and communications: 7.9%
community and social services: 19.7%
note: above data exclude public sector (2008 est.)
Unemployment rate:

5.3% (2009 est.)
country comparison to the world: 48
3.5% (2008 est.)
Population below poverty line:

NA%
Household income or consumption by percentage share:

lowest 10%: NA%
highest 10%: NA%
Distribution of family income - Gini index:

53.3 (2007)
country comparison to the world: 16
Investment (gross fixed):

20.9% of GDP (2009 est.)
country comparison to the world: 79
Budget:

revenues: $45.23 billion
expenditures: $43.57 billion (2009 est.)
Public debt:

37.4% of GDP (2009 est.)
country comparison to the world: 70
13.6% of GDP (2008 est.)
Inflation rate (consumer prices):

-0.5% (2009 est.)
country comparison to the world: 16
4.3% (2008 est.)
Central bank discount rate:

0.5% (31 December 2009)
country comparison to the world: 136
0.5% (31 December 2008)
Commercial bank prime lending rate:

5% (31 December 2009)
country comparison to the world: 148
5% (31 December 2008)
Stock of money:

$127.3 billion (31 December 2009)
country comparison to the world: 13
$63.03 billion (31 December 2008)
Stock of quasi money:

$757.6 billion (31 December 2009)
country comparison to the world: 7
$721 billion (31 December 2008)
Stock of domestic credit:

$317 billion (31 December 2009)
country comparison to the world: 26
$323.6 billion (31 December 2008)
Market value of publicly traded shares:

$2.29 trillion (31 December 2009)
country comparison to the world: 8
$1.32 trillion (31 December 2008)
$1.163 trillion (31 December 2007 est.)
Agriculture - products:

fresh vegetables; poultry, pork; fish
Industries:

textiles, clothing, tourism, banking, shipping, electronics, plastics, toys, watches, clocks
Industrial production growth rate:

-1.7% (2009 est.)
country comparison to the world: 84
Electricity - production:

39.4 billion kWh (2009 est.)
country comparison to the world: 57
Electricity - consumption:

42.1 billion kWh (2009 est.)
country comparison to the world: 49
Electricity - exports:

3.926 billion kWh (2009 est.)
Electricity - imports:

11.7 billion kWh (2009 est.)
Oil - production:

0 bbl/day (2009 est.)
country comparison to the world: 186
Oil - consumption:

359,000 bbl/day (2009 est.)
country comparison to the world: 36
Oil - exports:

160,000 bbl/day (2009)
country comparison to the world: 54
Oil - imports:

440,000 bbl/day (2009)
country comparison to the world: 29
Oil - proved reserves:

0 bbl (1 January 2009 est.)
country comparison to the world: 170
Natural gas - production:

0 cu m (2009 est.)
country comparison to the world: 176
Natural gas - consumption:

2.83 billion cu m (2009 est.)
country comparison to the world: 75
Natural gas - exports:

0 cu m (2009 est.)
country comparison to the world: 173
Natural gas - imports:

2.83 billion cu m (2009 est.)
country comparison to the world: 41
Natural gas - proved reserves:

0 cu m (1 January 2009 est.)
country comparison to the world: 166
Current account balance:

$18.4 billion (2009 est.)
country comparison to the world: 15
$29.3 billion (2008)
Exports:

$321.8 billion (2009 est.)
country comparison to the world: 12
$365.2 billion (2008 est.)
Exports - commodities:

electrical machinery and appliances, textiles, apparel, footwear, watches and clocks, toys, plastics, precious stones, printed material
Exports - partners:

China 51.2%, US 11.6%, Japan 4.4% (2009 est.)
Imports:

$348.7 billion (2009 est.)
country comparison to the world: 10
$388.4 billion (2008 est.)
Imports - commodities:

raw materials and semi-manufactures, consumer goods, capital goods, foodstuffs, fuel (most is re-exported)
Imports - partners:

China 46.39%, Japan 8.78%, Taiwan 6.52%, Singapore 6.49%, US 5.34% (2009)
Reserves of foreign exchange and gold:

$255.8 billion (31 December 2009 est.)
country comparison to the world: 8
$182.5 billion (31 December 2008)
Debt - external:

$655.1 billion (30 September 2009)
country comparison to the world: 15
$659.2 billion (31 December 2008)
Stock of direct foreign investment - at home:

$858.2 billion (31 December 2009 est.)
country comparison to the world: 5
$816.2 billion (31 December 2008)
Stock of direct foreign investment - abroad:

$811 billion (31 December 2009 est.)
country comparison to the world: 6
$762 billion (31 December 2008 est.)
Exchange rates:

Hong Kong dollars (HKD) per US dollar - 7.75 (2009), 7.751 (2008), 7.802 (2007), 7.7678 (2006), 7.7773 (2005)

Communications ::HONG KONG
Telephones - main lines in use:

4.108 million (2008)
country comparison to the world: 38
Telephones - mobile cellular:

11.374 million (2008)
country comparison to the world: 54
Telephone system:

general assessment: modern facilities provide excellent domestic and international services
domestic: microwave radio relay links and extensive fiber-optic network
international: country code - 852; multiple international submarine cables provide connections to Asia, US, Australia, the Middle East, and Western Europe; satellite earth stations - 3 Intelsat (1 Pacific Ocean and 2 Indian Ocean); coaxial cable to Guangzhou, China
Broadcast media:

2 commercial terrestrial television networks each with multiple stations; multi-channel satellite and cable TV systems are available; 3 radio networks, one of which is government-funded, operate about 15 radio stations (2008)
Internet country code:

.hk
Internet hosts:

813,980 (2009)
country comparison to the world: 44
Internet users:

4.124 million (2008)
country comparison to the world: 50

Transportation ::HONG KONG
Airports:

2 (2010)
country comparison to the world: 207
Airports - with paved runways:

total: 2
over 3,047 m: 1
1,524 to 2,437 m: 1 (2010)
Heliports:

9 (2010)
Roadways:

total: 2,050 km
country comparison to the world: 173
paved: 2,050 km (2009)
Merchant marine:

total: 1,114
country comparison to the world: 8
by type: barge carrier 2, bulk carrier 525, cargo 142, carrier 3, chemical tanker 68, combination ore/oil 2, container 205, liquefied gas 22, passenger 6, passenger/cargo 5, petroleum tanker 114, roll on/roll off 4, specialized tanker 9, vehicle carrier 7
foreign-owned: 703 (Belgium 3, Canada 44, China 324, Denmark 24, France 1, Germany 6, Greece 22, Indonesia 7, Iran 15, Japan 111, South Korea 3, Norway 40, Philippines 1, Portugal 1, Russia 2, Singapore 18, Syria 1, Taiwan 11, UAE 1, UK 39, US 29)
registered in other countries: 357 (Bahamas 30, Bermuda 4, Cambodia 8, China 12, Cyprus 2, Georgia 2, Honduras 1, India 1, Jamaica 1, Kiribati 4, Liberia 44, Malaysia 14, Malta 1, Marshall Islands 4, Mexico 1, Netherlands Antilles 2, Norway 20, Panama 130, Philippines 1, Portugal 2, Saint Vincent and the Grenadines 6, Seychelles 1, Sierra Leone 1, Singapore 47, Tuvalu 7, UK 2, Vietnam 1, unknown 8) (2008)
Ports and terminals:

Hong Kong

Military ::HONG KONG
Military branches:

no regular indigenous military forces; Hong Kong garrison of China's People's Liberation Army (PLA) includes elements of the PLA Ground Forces, PLA Navy, and PLA Air Force; these forces are under the direct leadership of the Central Military Commission in Beijing and under administrative control of the adjacent Guangzhou Military Region (2009)
Manpower available for military service:

males age 16-49: 1,729,179
females age 16-49: 1,899,296 (2010 est.)
Manpower fit for military service:

males age 16-49: 1,405,324
females age 16-49: 1,526,196 (2010 est.)
Manpower reaching militarily significant age annually:

male: 41,717
female: 38,240 (2010 est.)
Military expenditures:

NA
Military - note:

defense is the responsibility of China

Transnational Issues ::HONG KONG
Disputes - international:

none
Illicit drugs:

despite strenuous law enforcement efforts, faces difficult challenges in controlling transit of heroin and methamphetamine to regional and world markets; modern banking system provides conduit for money laundering; rising indigenous use of synthetic drugs, especially among young people