business · SingTao

Paul Lam says rule of law underpins Hong Kong edge

about 2 hours ago8 MIN
Paul Lam says rule of law underpins Hong Kong edge

Summary

Secretary for Justice Paul Lam Ting-kwok (林定國) said on September 8 that Hong Kong’s long-term competitiveness depends on offering value that other markets cannot easily replicate, with the rule of law at the core under “one country, two systems”. He made the remarks after attending a luncheon hosted by the American Chamber of Commerce in Hong Kong to discuss the relationship between the rule of law and the city’s competitiveness. Lam argued that predictability, enforceability and judicial independence remain central to investor confidence, while warning that Hong Kong still needs to confront negative overseas perceptions

Key Points

  • Lam said the two core legal attributes for long-term business investment are predictability and enforceability, and argued Hong Kong performs strongly on both counts
  • He said Hong Kong’s common law system, continued use of English as an official language, and cautious consultation-based reforms support legal stability
  • Lam urged observers to judge judicial independence by overall court quality, noting overseas non-permanent judges have declined but Australian and New Zealand judges continue to join
  • He cited the IMD World Competitiveness Yearbook 2026, which ranked Hong Kong second globally, linking that standing to free flows of capital, information and talent
  • Lam said 84.3% of cases filed with the Hong Kong International Arbitration Centre in 2025 were international, involving parties from 61 jurisdictions
  • Lam also pointed to examples he said demonstrate judicial independence in practice. He said Court of Appeal judge Jeremy Poon Ka-ming had previously ruled against the Hong Kong government and was later promoted, which he described as evidence that judicial advancement depends on professional merit rather than political alignment. He also said local judges are widely respected across the common law world, citing Court of Final Appeal judge Johnson Lam Man-hon as an example
  • On dispute resolution, Lam said the composition of Hong Kong International Arbitration Centre cases showed confidence from users beyond Hong Kong and mainland China. Of the 2025 filings, 45.4% involved no Hong Kong party, 58.2% involved no mainland Chinese party, and 13.7% involved no Asian party at all, he said. He argued those figures show overseas businesses continue to trust Hong Kong as a venue for resolving commercial disputes
  • Lam said Hong Kong should not be complacent, especially over how it is viewed abroad. He cited a 2026 American Chamber of Commerce survey in which 94% of respondents said they had confidence in Hong Kong’s rule of law, while 74% said the Hong Kong National Security Law had not negatively affected their business. Among the 26% who reported a negative impact, about 80% referred to overseas perceptions of Hong Kong rather than operational problems encountered in the city itself, he said

Why It Matters

For Hong Kong readers and businesses, Lam’s message ties the city’s economic appeal directly to confidence in courts, legal certainty and cross-border dispute resolution rather than to branding alone. It also suggests that even when companies report stable day-to-day operations, international perceptions can still affect investment decisions and Hong Kong’s ability to defend its position as a regional business hub

READ IT IN THE APP

Download on the App Store