Joseph Yam, JP: Open and connected – Scaling new heights  Luncheon Address by Mr Joseph Yam, JP, Chief Executive of the Hong Kong Monetary Authority, at the 7th Annual Hong Kong General Chamber of Commerce Business Summit “Hong Kong: The Hub of Asia”, held in Hong Kong on 13 December 2000. *  *  *  1. I am grateful, and much honoured, to have the opportunity to speak to this 7th Annual Business Summit of the Hong Kong General Chamber of Commerce. This conference is billed as a ‘business summit’. The word ‘summit’ always makes me think of one of my favourite hobbies – hiking. Those of you who have enjoyed – or endured – some of the more spectacular mountain trails in Hong Kong will know what I mean. I am thinking especially of the steep ranges in the remoter parts of Sai Kung, but you don’t have to go far in Hong Kong before you find yourself in the middle of one of our wild and mountainous country parks. They are among the attractions that make Hong Kong such a special place. In my view, they should be included in any list of the qualities that make Hong Kong a desirable city to do business in – along with the rule of law, a low and simple tax regime, an educated workforce, and so on. If you haven’t enjoyed these mountains, I recommend you take advantage of this long-awaited fine autumn weather to try them out.
The study focuses its analysis through another form of ‘turning point’ – 1  BIS Review 114/2000  the ‘hub’ – in positioning Hong Kong as a logistical, financial and digital centre of intermediation between the Mainland and the rest of the world. Indeed, China’s entry into the WTO, along with globalisation and technological advance are the three processes that I believe will shape Hong Kong’s role as such a hub over the coming years. 5. I have recently spoken in some detail elsewhere on the economic implications, and, in particular, the implications for Hong Kong’s banking and financial sectors of China’s entry into WTO. So I shall deal with these only briefly here, before turning to the other two processes of globalisation and technological advance. To summarise the research by the World Bank, the HKMA and other organisations: China’s share in the world’s external trade is predicted to double in the space of five years as a result of WTO entry – from around three-and-a-half per cent to more than seven per cent. This rapid growth in the Mainland’s share of world trade, coupled with a projected growth in trade volume at the rate of 7% per annum, is likely to mean yet more Mainland-related business for Hong Kong, just as it will undoubtedly also mean a great deal more business for Shanghai and other Mainland cities as well.