AmCham chairman James Thompson predicts exciting results for Hong Kong companies

"Hong Kong is one of the richest societies in the world. The GDP per capita today is nearly US$25,000 putting us among the highest in the world," he said in his acceptance speech on being elected for a second term as Amcham chairman.

Housing, education, medical care and taxes are extremely reasonable by any standards, he added.

"Hong Kong is one of the safest cities in the world, the result of an excellent police force and legal system. Corruption is virtually non-existent. We live in a very free and open society and I haven't seen anything to indicate that our ability to speak up and complain about policy has changed or will change."

Mr Thompson pointed out that Hong Kong was now a less expensive city to live in compared to five years ago with consumer and property prices having fallen far more than salaries since 1999. He said cost cutting among Hong Kong companies have made local businesses more competitive and efficient. 

"We'll see very exciting results from those companies that have taken strong action to cut costs during the lean years we've been through," he said.

He quoted a recent survey conducted by AmCham in Korea among a large group of Fortune 500 companies operating in the Asia Pacific region on tax labour flexibility, foreign exchange controls, work permits and other issues. The cities rated in the survey were Shanghai, Singapore, Tokyo, Hong Kong and Seoul. Hong Kong was rated the highest in many categories and the highest overall.

"This is one more indication that people outside of Hong Kong, and particularly multinational businesses, think this is the greatest city in Asia," he added. 

Mr Thompson gave a very upbeat forecast for Hong Kong in the remaining 12 months. He sees the Hong Kong economy rebounding in 2003 with a GDP growth of at least 4 per cent. "I base my optimism on the fact that Hong Kong will continue to solve its economic problems and the US economy will continue to improve. I also see China continuing to have solid growth with some of the benefits - such as many more mainland tourists coming here - rubbing off on Hong Kong."

Mr Thompson also spoke of the many opportunities unfolding with the new expanded area of Hong Kong and the Pearl River Delta.

"Hong Kong will be a great force in shaping the region by using our skills as international traders, financiers, logisticians and dynamic businessmen with long established links to the other economies of the world."

AmCham is one of the largest American Chambers of Commerce outside of the United States, representing 2,300 individual members and 1,000 corporate members.  

Related link:
AmCham  www.amcham.org.hk