China
Predictions
- Implementation of Hong Kong security law will increase political risks and cross-border operational challenges
- Law will increase geopolitical tensions, raising challenges for businesses and preventing progress on issues such as EU investment agreement
- Beijing will invest in reducing technology and financial dependence on US, including digital currency, but offshore use of renminbi will remain limited
Event
Hong Kong police arrested 10 people under a new national security law on 1 July, as well as 360 people on other charges, as thousands attended anti-government protests in the Causeway Bay shopping district. The legislation was approved by President Xi Jinping the previous day and was introduced using an article in the city’s constitution which bypasses local legislative procedures.
Falanx Assynt is a global intelligence consultancy and leading provider of geopolitical, strategic and business risk analysis since 2003. Falanx Assynt is part of Falanx Group Ltd (LON:FLX) which, through its subsidiaries, provides cyber defence and intelligence services to blue chip and government clients worldwide.