Hong Kong, Bloomberg, Carrie Lam discussed on Bloomberg Daybreak Weekend

Automatic TRANSCRIPT

York. Bloomberg 11, Frio to Washington, D. C. Bloomberg 99 12 Boston Bloomberg, one of 61 disenfranchises Go Bloomberg 9 16 to the country, Sirius, XM Channel 1, 19 and around the Globe, The Bloomberg Radio Plaza and Bloomberg Radio. Com. This is Bloomberg Daybreak on John Tucker in New York with your Global look ahead of the top stories for investors in the coming week. One thing we're keeping a close watch on these events unfolding in Hong Kong. With all the challenges there are in how the area's chief executive is dealing with things for more or going to Hong Kong right now. Bloomberg Daybreak anchor Brian Curtis and his comic Doug Prisoner, John Hong Kong's leader, Carrie Lam, will deliver her annual policy address in the coming week. The address was originally scheduled for October 14th, but it was postponed and at that time, Lam said she'd go to Beijing to seek support for various proposals. Now that in itself was controversial as it's not normal practice in Hong Kong. And their significant controversy attached to the speech itself. With so many issues that need to be finessed here. Ongoing relationship with China, the covert pandemic the weakened economy. Shortage of housing, which has been a problem for a long time and the disaffection of Hong Kong. You and Brian even in a broader sense, the general estrangement between the government and the people. We thought we'd take a closer look at these issues with Bloomberg Cross Asset Reporter Eric Lamb, who joins us from Hong Kong. Eric. Thanks so much for being with us. I'm going to start with the issue of cross border travel. I'm would imagine that for Carrie Lam the resumption of this type of travel between Hong Kong and the mainland is going to be a very, very important issue. Yeah, absolutely. It's been something that Carrie Lam and other governments. Officials, like the Financial Secretary Paul Chan, had really been trumpeting in their discourse with the public over the last couple of months is really the importance of the Chinese economy, especially the fact that it has been recovering the last little while and that also helps to pick up a little bit. We've seen a bit of a pick up in Hong Kong economic data as well. So the really emphasizing those closer ties and that's one of the things that she was definitely discussing with Beijing when she made her trip up Tolo up to the mainland. What will it actually take Eric to improve relations with young people in Hong Kong? Because you know that getting them jobs? That's one thing is that more important or would it be saved? More tangible steps toward democracy here. That's a very interesting question, which, obviously, the zone haven't easy answer on the subject of jobs on. Interestingly, local media reporting that one of the initiatives that air that men may be announced in the policy address next week is actually a youth employment program where Will be sending you the to the mainland to work jobs, short term in in the in the Greater Bay Area, and the Hong Kong government will subsidize those salaries, which again is kind of creating jobs encouraging. That cross border interconnected travel that they've been really pushing with the greater Bay Area project over the last 10 years. So in that sense that looks like something tangible that they you know if this actually does get announced, is a tangible move in that direction. But, as you say, there is also some really fundamental. Disaffection, especially among the youth in Hong Kong, especially after the events of the past year where many of these protests were led by younger people in Hong Kong, really hoping for democracy, really disappointed? And the local government and the government in China as well and really did not end up getting really anything that they that they were hoping for, with the really the end of the protests this year and the introduction of the National security law, so it's a difficult situation, not an easy answer. But it does look like the Chinese government in the Hong Kong government are trying to at least target that issue with these potential programs that they might be announcing next week. Yes, so there's the issue of youth employment. There's also the issue of affordable housing. Do we expect Carrie Lam to address this issue, even with the pandemic, Even with the protests, property prices have not really fallen off that much in Hong Kong. There's still quite expensive, so ongoing issue. I don't think it's really not going to the last will have heard of it in his policy address, But I think it's more than likely we'll get something you know. In the old days, Milton Friedman revert to Hong Kong is Having a lazy fare capitalist approach to running the economy, and that was very much the case really quite conservative in terms of spending, and I'm just wondering whether there might be some major. Spending initiatives or if the government feels kind of conservative and his nervous about its own revenues, taking a hit from covert and and doesn't do the big spending. What sort of sounds are you hearing on that? So in terms of spending, we might see some announcements here and there. I don't think we're gonna see any spending that Approached the rounds that we saw earlier this year, especially the fact that the most recent economic data actually showed some slight improvements in the third quarter growth for Hong Kong, which certainly helps their arguments for maybe being a little more more restrained and going back to you, as you say that more conservative line of spending Eric Thank you so much for joining us. Eric Lamb Bloomberg Cross Assets reporter. I bring in Curtis in Hong Kong, along with Doug Prisoner in New York, you can catch us every week day for Bloomberg. Daybreak Asia, beginning at 7 A.m..

Coming up next