Chief Executive Outlines Aggressive Tourism Strategy

The July Conference on International Co-operation for Tourism Development Under a New Paradigm presented the Hong Kong Chief Executive, Mr Tung Chee Hwa, with an ideal opportunity to describe Hong Kong’s multi-faceted approach to renewing its tourism appeal. The conference was jointly organized by the Boao Forum for Asia and the World Tourism Organization. 

Mr Tung started his address with “four simple words that, for many people in our tourism industry, have taken on a special meaning over these past few weeks: ‘Welcome to Hong Kong'."

While the SARS outbreak created a very painful economic fallout in Hong Kong, Mr Tung said that previous challenges, such as the Asian financial turmoil and the bursting of Hong Kong’s asset bubble, had already prompted economic restructuring and adjustment. 

“The task often appears to be daunting," said Mr Tung, “but we do have some unique competitive advantages." Citing the hardware and software of a world-class city, keen business acumen, well-developed infrastructure, versatile financial system, robust legal institutions, free and open society and a cosmopolitan community, he expressed confidence in Hong Kong’s strategic position and unique role. 

“The strong growth of our economy in the last few quarters before the SARS epidemic took its toll shows that our economic policy is in the right direction," said Mr Tung. However, SARS exacted a damaging toll across the board, with the tourism, hotel, restaurant and retail sectors being particularly hard hit. Since the lifting of the WHO travel advisory, key markets such as Mainland China, the US, Europe, Southeast Asia and Japan have shown gentle recovery. Measures to assist Hong Kong’s recovery include a US$1.5 billion relief package for the affected sectors. 

Mr Tung expressed his confidence that the SARS impact on Hong Kong’s economic recovery, though severe, would be temporary. Hong Kong will continue to benefit from the rapid growth of the Mainland economy, particularly the Pearl River Delta. In addition, the Closer Economic Partnership Arrangement (CEPA) demonstrates the Central People’s Government support of Hong Kong and will open up many exciting opportunities. 

Lessons learned from SARS will continue to be at the heart of improvements in hygiene and safety. The Hong Kong SARS Experts Committee is conducting a thorough review of the epidemic to enhance understanding and preparedness. Team Clean is mandated to promote personal and public hygiene, tackle environmental hygiene black spots and give Hong Kong a complete facelift. 

Mr Tung outlined his Government’s contributions to strategies designed to restore confidence in Hong Kong’s tourism appeal. These comprise international promotions, Hong Kong-based business conferences, exhibitions and sports and cultural events. The Hong Kong Tourism Board is working closely with tourism authorities in major Asian destinations to launch joint promotional programmes in the long-haul markets.

“Looking to the longer term, we are pressing ahead with major investments in our tourism infrastructure," said Mr Tung. Private participation is being keenly encouraged. Projects involving private sector participation include the Hong Kong Disneyland and a new cable car system being developed on Lantau. 

“Our investment in this sector is based on a practical reality: tourism offers wide economic benefits," remarked Mr Tung. “I believe that investment in the tourism sector in Hong Kong not only benefits Hong Kong, but also contributes to making Asia as a whole more attractive as a tourist destination."

Emphasizing that Hong Kong, and the region, are on the road to recovery, Mr Tung expressed his hope that the conference “will help to revitalize the tourism industry in Asia and help map out a strategy to bring more visitors, more business people back to our home markets."

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