The passage of the Safeguarding National Security Ordinance (the Ordinance) in the Hong Kong Special Administrative Region represents a significant milestone in ensuring stability and prosperity in the region. The legislation has garnered widespread support from various sectors of society, including finance, technology, education and politics. The law protects individuals’ legitimate rights and interests, property, investments and critical infrastructure while safeguarding national security. By aligning with the principles of “one country, two systems” and Hong Kong’s existing national security framework, the law will preserve Hong Kong’s unique advantages, creating a favorable environment for investment and business.

The preamble and provisions of the law articulate the legislative rationale and principles, emphasizing the unwavering commitment to “one country, two systems”, “Hong Kong people administering Hong Kong” and a “high degree of autonomy”.

The law takes into account the normal business activities and international interactions of various sectors, providing clear behavioral guidelines and establishing defenses and exceptions.

Beyond safeguarding national security, the law aims to create a stable and predictable environment for business development in Hong Kong, which is crucial to instilling confidence among global investors and residents. The financial sector, in particular, recognizes the importance of a secure and stable environment for its growth. By clearly defining criminal offenses and specifying exceptional circumstances, the law provides reassurance to investors. The financial industry eagerly anticipates the implementation of the law, as it will enhance international investors’ confidence in Hong Kong as a premier investment destination.

Academics also welcome the law, as it provides clear definitions of criminal offenses, allowing for a better understanding of legal boundaries. This clarity encourages scholars to engage in normal academic exchanges and research without fear of legal repercussions. The law also improves protection for matters related to technological development and scientific secrets, benefiting industries such as advanced technology and helping attract talented individuals to Hong Kong.

The law effectively addresses gaps in safeguarding national security, aligning with Hong Kong’s existing national security framework. It enhances protection of State secrets concerning China or the HKSAR’s economic, social and technological development, promoting collaboration and data exchange between Hong Kong and the Chinese mainland. This will further facilitate integration of industries such as finance, digital trade and biotechnology in the Guangdong-Hong Kong-Macao Greater Bay Area, contributing to the area’s overall development.

The comprehensive protection for national security and critical financial infrastructure in the HKSAR is of paramount importance. The law supports the identification and response to various financial risks, enabling the region to safeguard its financial stability

The comprehensive protection for national security and critical financial infrastructure in the HKSAR is of paramount importance. The law supports the identification and response to various financial risks, enabling the region to safeguard its financial stability. It is crucial for businesses to understand local laws and regulations worldwide, including foreign exchange controls. The HKSAR government should provide further explanations to foreign investors after the law’s implementation, ensuring a better understanding of the law.

Clarity in legal regulations is essential for investment projects. With the introduction of the law, industries now have a clear framework that appropriately safeguards activities such as operating internet platforms and innovative data applications, providing a sense of security. It is essential for Hong Kong to be seen as a place with relevant regulations, dispelling any notion of being a lawless land.

The legislation offers an opportunity for the HKSAR government and society to prioritize network security, data security, and resource allocation to combat cybercrime while fostering the development of industries related to data security, management and certification.

The passage of the Ordinance presents a comprehensive framework to safeguard national security, protect investments, and create a stable environment for the growth of various sectors in Hong Kong. By upholding the principles of “one country, two systems” and fostering academic freedom, the law ensures Hong Kong’s continued prosperity and integration into the national development strategy. It is an opportunity to strengthen the region’s financial stability and position it as an attractive investment destination for global investors. With the successful implementation of the law, Hong Kong can embrace a future of stability, prosperity, and enhanced collaboration with the world.

The author is chairman of the Asia MarTech Society and is also assistant professor at Saint Francis University in Tseung Kwan O.

The views do not necessarily reflect those of China Daily.