Why Hong Kong must resist pressure to loosen budget discipline

When he sits down later this month to finalise the budget for the coming financial year, Financial Secretary Paul Chan Mo-po will have some positive news in his pocket to balance against the many calls for additional spending. As some of those new demands are likely to be expensive and compelling, he will need all the help he can get. First, the good news. Hong Kong is heading for a surplus in public finances. In his 2025 budget, Chan forecast a deficit on the consolidated operating account of...