Cost of living in Hong Kong

In this agreement, China promised that, under its "one country, two systems" formula, China's socialist economic and strict political system would not be imposed on Hong Kong and that Hong Kong would enjoy a "high degree of autonomy" in all matters except foreign and defense affairs for the next 50 years. After the handover, Hong Kong continued to enjoy success as an international financial center. However, growing Chinese political influence and dissatisfaction with the Hong Kong Government in the 2010s became central issues and led to considerable civil unrest, including large-scale pro-democracy demonstrations in 2019 after the HKSAR attempted to revise a local ordinance to allow extraditions to mainland China. In response to the protests, the governments of the HKSAR and China reduced the city's autonomy and placed new restrictions on the rights of Hong Kong residents, moves that were widely criticized as contravening obligations under the Hong Kong Basic Law and the Sino-British Joint Declaration. Democratic lawmakers and political figures were arrested in a widespread crackdown, while others fled abroad. At the same time, dozens of civil society groups and several independent media outlets were closed or disbanded. In 2021, Beijing imposed a more restrictive electoral system, restructuring the Legislative Council (LegCo) and allowing only government-approved candidates to run for office. The changes ensured that virtually all seats in the 2021 LegCo election went to pro-establishment candidates and effectively ended political opposition to Beijing. In 2024, the LegCo passed a new national security law (Article 23 of the Basic Law) further expanding the Hong Kong Government's power to curb dissent.