Millions have taken to Hong Kong streets in anti-government protests that have intensified since mid-June, at times forcing banks, stores, shopping malls, restaurants and even government buildings to close as the demonstrations degenerated into violent clashes between police and activists.
The Hongkong and Shanghai Hotels Ltd, owner of the opulent Peninsula Hotel in the bustling shopping district of Tsim Sha Tsui, said it too was worried about the impact of the protests on tourist arrivals as well as the broader economy. In June, Hong Kong-based cosmetic and healthcare products chain operator Bonjour Holdings Ltd issued a profit warning which it partly blamed on the protests.
Hong Kong retail sales, a key part of the city’s economy, felt a growing impact in June from the mass protests, falling 6.7 per cent from a year earlier in the biggest decline since February. Many businesses in Hong Kong are already facing strains from China’s economic slowdown, a weak Chinese yuan and fallout from the US-China trade war.