Opinion | A ‘panda economy’ is no cure for Hong Kong’s identity crisis

Things are not going very well in Hong Kong, and I doubt a “panda economy” – something Secretary for Culture, Sports and Tourism Kevin Yeung Yun-hung suggested after his return from Sichuan earlier this month – is the answer.

“It’s about the panda economy. In Chengdu, they have made full use of pandas as a means of economic development, which is not just about tourism,” Yeung told a radio programme. The minister was so impressed by what he saw on his trip that he suggested businesses, including restaurants, could get in on the panda craze and boost the economy.

Hold your horses – or pandas, in this case. Chengdu has a panda economy because it’s the panda capital of the world. Hong Kong isn’t. The two giant pandas are big gifts, and what’s not to love about them? This is not to take away from the significance of pandas and Beijing’s gift by any measure, but they will not save us. We are not Sichuan and never will be.

Hong Kong is struggling from a crisis of confidence. Just look at the Hang Seng Index, which has recovered somewhat but is still mired in years of losses. Its performance might be part of a larger, more volatile global outlook, but we are smack in the middle of it.

Also, look at how difficult it has been for our housing and development chiefs to sell land. Just last week, the government rejected the sole bidder for the first site put up for public tender under a pilot housing scheme for private developers to build subsidised homes. The tendered premium failed to meet the government’s reserve price.

This is where the government officials need to head back to the drawing board, consider what went wrong and how to better engage private developers. Better yet, take this opportunity to understand why it is not as enticing as they thought it would be.

The failed bid shouldn’t be a surprise. Last year, the government had a record six failed land tenders. In response, Secretary for Development Bernadette Linn Hon-ho said the government would take a more prudent approach to land sales in this bleak market outlook.

It is clear our government is aware of where we are. While it reminds us that it is because of external factors out of our control, is there really nothing to do but just ride out the storm? External factors such as high interest rates and the mainland economy play major roles, but it’s the lack of confidence that we will rise above these external factors that is the crux of the problem.

As Chief Executive John Lee Ka-chiu prepares his third policy address, he must start his rounds of pep talks and address the people directly. Holding a number of in-person and online consultation sessions won’t cut it.

Lee must steer his ship and tend to the maintenance that must be done to the ship’s engines and gears. Instead of telling businesses to be bold and creative enough to adapt to changing consumption and travel patterns, as he did a few months ago, how about his government leads by example?

So far, we haven’t seen much boldness or creativity from the city’s government. Hong Kong has survived many storms in the past, and it is imperative to look back at how we rose above each crisis. Look at how the city responded to attacks by currency speculators. This is the sort of fighting spirit Lee and his team must display.

Being told to ride on a “panda economy” points to an identity crisis that is at the crux of our confidence crisis. What does being a “superconnector” mean for today’s Hong Kong? Lee has called the city a “super value-adder” for enterprises, but how? If the city has lost confidence in itself, how do we add value to those who would like to be connected to and invest in the mainland?

Lee will be promoting the city and exploring new business opportunities on trips to Laos, Cambodia and Vietnam. When he returns, he needs to start promoting the city to his people, head out into the streets and run it like an election campaign – address issues close to people’s hearts and have a clear message of a better tomorrow.