CY Leung warns against DAB scheme to sell Hong Kong property to mainlanders
Ex-Hong Kong leader says proposal by city’s largest party to allow direct remittance for home purchases not in residents’ best interests
Former Hong Kong leader Leung Chun-ying has voiced reservations about a proposal by the city’s largest political party to set up a scheme allowing mainland Chinese to buy local property through direct remittance, saying it is not in the best interests of residents.
Leung, now a vice-chairman of the country’s top political advisory body, the Chinese People’s Political Consultative Conference, said on Tuesday that the local government should always prioritise Hongkongers’ needs rather than seek to boost the property market.
The proposal was put forward by the Democratic Alliance for the Betterment and Progress of Hong Kong (DAB), which suggested setting up a closed-loop capital pool that allowed migrants who entered through talent admission schemes to transfer money from the mainland to buy Hong Kong properties.
Under mainland rules, individuals can transfer a maximum of US$50,000 a year, carry 20,000 yuan (US$2,810) in cash each time they cross the border and withdraw up to 100,000 yuan annually from mainland accounts in Hong Kong.
The party, which submitted the proposal to Chief Executive John Lee Ka-chiu for his next policy address, argued that such a measure would help the city retain mainland talent.
But Leung on Tuesday cautioned against such a proposal, saying the government should put Hongkongers’ interests first.