This year, the Fraser Institute, the project organizer for the Economic Freedom of the World Index hosted its Network Annual Conference in Cape Town, South Africa, October 19-20, 2004. As the co-host was the Free Market Foundation of the Southern Africa, understandably African countries were well represented there. At the conference, Hong Kong was again featured as the champion for the economic freedom which set an example for many developed and developing countries to follow. Clearly the obvious impact was on China. As the Better Hong Kong Foundation is closely associated with the Institute, I had the good fortune being the only Asian representative in this annual conference. It was gratifying to experience being consulted on Hong Kong example. Hong Kong has been ranked the freest economy for eight consecutive years. Also I updated the authors of the economic freedom of the world reports, Professor James Gwartney of Florida State University in USA and Professor Robert Lawson, Capital University in USA on the recent constitutional development and economic outlook for Hong Kong as well as China, as both the size and machinery of the government and the rule of law play a critical role in promoting economic freedom of a country or a territory.
In fact, going to Cape Town seems like going to a place very familiar with Hong Kong particularly with much alignment to the foundation’s mission. That is “we work for the people united for a better Hong Kong and a better world”. So do the South Africa. There are ‘The Big 5’ – elephant, leopard, rhinoceros, buffalo and lion’ in South Africans. However my visit to the country is more than going on a safari, as I can appreciate better and deeper the other Big 5. They are:
(1) Rule of law with great importance attached to corporate governance.
(2) The “can-do” attitude.
(3) Education as top priority.
(4) Sustainable environment development.
(5) Demonstration of reconciliation and understanding among people.
The world should know since 1960 four South Africans had won the Nobel Peace Prizes. It is this “Big 5” impresses me very much and gives me causes to reflect upon my trip in the context of the present Hong Kong situation.
Going to Cape Town has given me a sense of warmth and friendliness as the city resembles Hong Kong. A great part of central business district has been built on reclaimed land as it shares with Hong Kong on the top rank of the world’s best harbours with the famous Table Mountain over-looking the sea as the other mountain called the Lion’s Head sits opposite. It is just like Hong Kong’s Victoria Peak and Kowloon’s Lion Rock. Besides, both Hong Kong and South Africa have defied the doom sayers’ predictions. For South Africa, the Apartheid policy had over-shadowed the transfer of government from the white to the black in 1994. Likewise, the “Death of Hong Kong” story appeared in the Fortune Magazine on June 1995 had provided a lot of negative stories for the western media to write about former colony’s future, as China resumed its sovereignty of the territory in 1997. Yet both South Africa and Hong Kong have come up with historic political solutions that have astounded the world. We are both working to achieve a refreshing and different social economic solution which provides again an inspiration to the world against our colonial past and the negative predictions. Our “one country, 2 systems” principle stands the test of times. Many of our law makers have been to the Untied States of America and Europe and make their pilgrimage to the respective western governments to learn from their democratic progress, financial infrastructure and sustainable development programme. They now should look to South Africa to study their strengths and their challenges so as to provide insights for us to make adaptive change to Hong Kong’s development.
South African constitution is considered one of the most progressive countries in the world as supreme and justicable under a Constitutional Court. So is Hong Kong’s Court of Final Appeal with Lawlords from the British Commonwealth on its judicial panel. South Africa’s own experience of resolving the history of violent conflict had allowed it to contribute to a number of successful peace initiatives in Africa and the rest of the world. At 30%, South Africa has one of the highest percentage of seats in Parliament held by women. When Nelson Mandela, the founding father of the present South Africa Republic, spoke to the nation in 1994 both the white and the black stressing on the importance of unity on the principle of forgiveness and understanding and reconciliation and cooperation. South Africa has given the world an alternative model that fosters the nation building and encourages trust in post-conflict situation. The country has the ability to take a tragedy and turn it into a lesson for the world.
Just to quote Charlize Theron, the first South African to win the Oscar Award for the Best Actress, she said:
“You don’t need to win an Oscar to do something good for your country. We can all do that. Whatever I can do in my power, I promise you I will do it. It’s our duty as citizens of this country.”
My good friend, Mark Mobius, Portfolio Manager at Templeton also commented:
“South African companies tend to have good corporate governance, capable managers, and can compete against the world’s best. Investors can also take comfort from the government’s sound fiscal management and efficient central bank.”
South Africa is a proof that the image of South Africa so often portrayed as beset with chaos and failure to a travesty of the truth. In fact the country is an embodiment of democracy, peaceful transition, co-existence between communities and resilience among its people. There must be good reasons for the South Africans to have positive attitude as the country has one of the highest levels of expenditure of education in the world, currently at 20% of the GDP.
Hong Kong needs to learn from this. On my trip to Cape Town, the plane was almost full with half of the passengers being Mainland Chinese. I asked around to discover the purpose of their visits with most of them going on business and the rest of them going to study in South Africa. I was probably the only Hong Kong Chinese. Being the first time visitor, I came to South Africa to attend the conference and to see the Big Five, the game reserves, mountains and beaches but I didn’t expect that I fell in love with the people in South Africa, as they are the people with aspiration and determination to succeed. With so much things to learn and so much development in South Africa, business people, politicians, community leaders and media in Hong Kong should go to African nation to share experience and to exchange views on our future as both Hong Kong and South Africa have so much similarities in our backgrounds, our economic strengths and our political aspirations.
For enquires, please contact Ms. Elsie Leung of the Better Hong Kong Foundation at 2865-3529.
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The Better Hong Kong Foundation is a privately funded, non-profit, non-political organization, formed by leading Hong Kong business people to reinforce Hong Kong’s role as the leading regional financial, shipping, trading, communications and technology center. The Foundation also serves to enhance greater international understanding between East and West by facilitating communications between Hong Kong, China and the international community.