BASIC LAW OF THE HONG KONG SPECIAL ADMINISTRATIVE REGION OF THE PEOPLE’S REPUBLIC OF CHINA

The National People’s Congress

Order of the President of the People’s Republic of China

No.26

The Basic Law of the Hong Kong Special Administrative Region of the People’s Republic of China which is composed of the Method for
the Selection of the Chief Executive of the Hong Kong Special Administrative Region(attachment I), the Method for the Formation of
the Legislative Council of the Hong Kong Special Administrative Region(attachment II), the National Laws to Be Applied in the Hong
Kong Special Administrative Region(attachment III) and the regional flag and the form of the regional emblem of the Hong Kong Special
Administrative Region, has been adopted at the 3rd Session of the Seventh National People’s Congress on April 4, 1990, and promulgated
hereby for implementation as of July 1, 1997.

President of the People’s Republic of China Yang ShangKun

April 4, 1990

Basic Law of the Hong Kong Special Administrative Region of the People’s Republic of China ContentsPreamble

Chapter I General Principles

Chapter II Relationship Between the Central Authorities and

the Hong Kong Special Administrative Region

Chapter III Fundamental Rights and Duties of the Residents

Chapter IV Political Structure

Section 1 The Chief Executive

Section 2 The Executive Authorities

Section 3 The Legislature

Section 4 The Judiciary

Section 5 District Organizations

Section 6 Public Servants

Chapter V Economy

Section 1 Public Finance, Monetary Affairs, Trade, Industry and Commerce

Section 2 Land Leases

Section 3 Shipping

Section 4 Civil Aviation

Chapter VI Education, Science, Culture, Sports, Religion, Labour and Social Services

Chapter VII External Affairs

Chapter VIII Interpretation and Amendment of the Basic Law

Chapter IX Supplementary Provisions

Attachment I Method for the Selection of the Chief Executive of the Hong Kong Special Administrative Region

Attachment II Method for the Formation of the Legislative Council of the Hong Kong

Attachment III National Laws to be Applied in the Hong Kong Special Administrative Region

Preamble

Hong Kong has been part of the territory of China since ancient times; it was occupied by Britain after the Opium War in 1840. On
19 December 1984, the Chinese and British Governments signed the Joint Declaration on the Question of Hong Kong, affirming that the
Government of the People’s Republic of China will resume the exercise of sovereignty over Hong Kong with effect from 1 July 1997,
thus fulfilling the long-cherished common aspiration of the Chinese people for the recovery of Hong Kong.

Upholding national unity and territorial integrity, maintaining the prosperity and stability of Hong Kong, and taking account of its
history and realities, the People’s Republic of China has decided that upon China’s resumption of the exercise of sovereignty over
Hong Kong, a Hong Kong Special Administrative Region will be established in accordance with the provisions of Article 31 of the
Constitution of the People’s Republic of China, and that under the principle of “one country, two systems,” the socialist system
and policies will not be practised in Hong Kong. The basic policies of the People’s Republic of China regarding Hong Kong have been
elaborated by the Chinese Government in the Sino-British Joint Declaration.

In accordance with the Constitution of the People’s Republic of China, the National People’s Congress hereby enacts the Basic Law
of the Hong Kong Special Administrative Region of the People’s Republic of China, prescribing the systems to be practised in the
Hong Kong Special Administrative Region, in order to ensure the implementation of the basic policies of the People’s Republic of
China regarding Hong Kong.

Chapter I General Principles

Article 1

The Hong Kong Special Administrative Region is an inalienable part of the people’s Republic of China.

Article 2

The National People’s Congress authorizes the Hong Kong Special Administrative Region to exercise a high degree of autonomy and enjoy
executive, legislative and independent judicial power, including that of final adjudication, in accordance with the provisions of
this Law.

Article 3

The executive authorities and legislature of the Hong Kong Special Administrative Region shall be composed of permanent residents
of Hong Kong in accordance with the relevant provisions of this Law.

Article 4

The Hong Kong Special Administrative Region shall safeguard the rights and freedoms of the residents of the Hong Kong Special Administrative
Region and of other persons in the Region in accordance with law.

Article 5

The socialist system and policies shall not be practised in the Hong Kong Special Administrative Region, and the previous capitalist
system and way of life shall remain unchanged for 50 years.

Article 6

The Hong Kong Special Administrative Region shall protect the right of private ownership of property in accordance with law.

Article 7

The land and natural resources within the Hong Kong Special Administrative Region shall be State property. The Government of the Hong
Kong Special Administrative Region shall be responsible for their management, use and development and for their lease or grant to
individuals, legal persons or organizations for use or development. The revenues derived therefrom shall be exclusively at the disposal
of the government of the Region.

Article 8

The laws previously in force in Hong Kong, that is, the common law, rules of equity, ordinances, subordinate legislation and customary
law shall be maintained, except for any that contravene this Law, and subject to any amendment by the legislature of the Hong Kong
Special Administrative Region.

Article 9

In addition to the Chinese language, English may also be used as an official language by the executive authorities, legislature and
judiciary of the Hong Kong Special Administrative Region.

Article 10

Apart from displaying the national flag and national emblem of the People’s Republic of China, the Hong Kong Special Administrative
Region may also use a regional flag and regional emblem.

The regional flag of the Hong Kong Special Administrative Region is a red flag with a bauhinia highlighted by five star-tipped stamens.

The regional emblem of the Hong Kong Special Administrative Region is a bauhinia in the centre highlighted by five star-tipped stamens
and encircled by the words “Hong Kong Special Administrative Region of the People’s Republic of China” in Chinese and “HONG KONG”
in English.

Article 11

In accordance with Article 31 of the Constitution of the People’s Republic of China, the systems and policies practised in the Hong
Kong Special Administrative Region, including the social and economic systems, the system for safeguarding the fundamental rights
and freedoms of its residents, the executive, legislative and judicial systems, and the relevant policies, shall be based on the
provisions of this Law.

No law enacted by the legislature of the Hong Kong Special Administrative Region shall contravene this Law.

Chapter II Relationship Between the Central Authorities and the Hong Kong Special Administrative Region

Article 12

The Hong Kong Special Administrative Region shall be a local administrative region of the People’s Republic of China, which shall
enjoy a high degree of autonomy and come directly under the Central People’s Government.

Article 13

The Central People’s Government shall be responsible for the foreign affairs relating to the Hong Kong Special Administrative Region.

The Ministry of Foreign Affairs of the People’s Republic of China shall establish an office in Hong Kong to deal with foreign affairs.

The Central People’s Government authorizes the Hong Kong Special Administrative Region to conduct relevant external affairs on its
own in accordance with this Law.

Article 14

The Central People’s Government shall be responsible for the defence of the Hong Kong Special Administrative Region.

The Government of the Hong Kong Special Administrative Region shall be responsible for the maintenance of public order in the Region.

Military forces stationed by the Central People’s Government in the Hong Kong Special Administrative Region for defence shall not
interfere in the local affairs of the Region.

The Government of the Hong Kong Special Administrative Region may, when necessary, ask the Central People’s Government for assistance
from the garrison in the maintenance of public order and in disaster relief.

In addition to abiding by national laws, members of the garrison shall abide by the laws of the Hong Kong Special Administrative Region.

Expenditure for the garrison shall be borne by the Central People’s Government.

Article 15

The Central People’s Government shall appoint the Chief Executive and the principal officials of the executive authorities of the
Hong Kong Special Administrative Region in accordance with the provisions of Chapter IV of this Law.

Article 16

The Hong Kong Special Administrative Region shall be vested with executive power. It shall, on its own, conduct the administrative
affairs of the Region in accordance with the relevant provisions of this Law.

Article 17

The Hong Kong Special Administrative Region shall be vested with legislative power.

Laws enacted by the legislature of the Hong Kong Special Administrative Region must be reported to the Standing Committee of the National
People’s Congress for the record. The reporting for record shall not affect the entry into force of such laws.

If the Standing Committee of the National People’s Congress, after consulting the Committee for the Basic Law of the Hong Kong Special
Administrative Region under it, considers that any law enacted by the legislature of the Region is not in conformity with the provisions
of this Law regarding affairs within the responsibility of the Central Authorities or regarding the relationship between the Central
Authorities and the Region, the Standing Committee may return the law in question but shall not amend it. Any law returned by the
Standing Committee of the National People’s Congress shall immediately be invalidated. This invalidation shall not have retroactive
effect, unless otherwise provided for in the laws of the Region.

Article 18

The laws in force in the Hong Kong Special Administrative Region shall be this Law, the laws previously in force in Hong Kong as provided
for in Article 8 of this Law, and the laws enacted by the legislature of the Region.

National laws shall not be applied in the Hong Kong Special Administrative Region except for those listed in Attachment III to this
Law. The laws listed therein shall be applied locally by way of promulgation or legislation by the Region.

The Standing Committee of the National People’s Congress may add to or delete from the list of laws in Attachment III after consulting
its Committee for the Basic Law of the Hong Kong Special Administrative Region and the government of the Region. Laws listed in Attachment
III to this Law shall be confined to those relating to defence and foreign affairs as well as other matters outside the limits of
the autonomy of the Region as specified by this Law.

In the event that the Standing Committee of the National People’s Congress decides to declare a state of war or, by reason of turmoil
within the Hong Kong Special Administrative Region which endangers national unity or security and is beyond the control of the government
of the Region, decides that the Region is in a state of emergency, the Central People’s Government may issue an order applying the
relevant national laws in the Region.

Article 19

The Hong Kong Special Administrative Region shall be vested with independent judicial power, including that of final adjudication.

The courts of the Hong Kong Special Administrative Region shall have jurisdiction over all cases in the Region, except that the restrictions
on their jurisdiction imposed by the legal system and principles previously in force in Hong Kong shall be maintained.

The courts of the Hong Kong Special Administrative Region shall have no jurisdiction over acts of state such as defence and foreign
affairs. The courts of the Region shall obtain a certificate from the Chief Executive on questions of fact concerning acts of state
such as defence and foreign affairs whenever such questions arise in the adjudication of cases. This certificate shall be binding
on the courts. Before issuing such a certificate, the Chief Executive shall obtain a certifying document from the Central People’s
Government.

Article 20

The Hong Kong Special Administrative Region may enjoy other powers granted to it by the National People’s Congress, the Standing Committee
of the National People’s Congress or the Central People’s Government.

Article 21

Chinese citizens who are residents of the Hong Kong Special Administrative Region shall be enpost_titled to participate in the management
of state affairs according to law. In accordance with the assigned number of seats and the selection method specified by the National
People’s Congress, the Chinese citizens among the residents of the Hong Kong Special Administrative Region shall locally elect deputies
of the Region to the National People’s Congress to participate in the work of the highest organ of state power.

Article 22

No department of the Central People’s Government and no province, autonomous region, or municipality directly under the Central Government
may interfere in the affairs which the Hong Kong Special Administrative Region administers on its own in accordance with this Law.

If there is a need for departments of the Central Government, or for provinces, autonomous regions, or municipalities directly under
the Central Government to set up offices in the Hong Kong Special Administrative Region, they must obtain the consent of the government
of the Region and the approval of the Central People’s Government.

All offices set up in the Hong Kong Special Administrative Region by departments of the Central Government, or by provinces, autonomous
regions, or municipalities directly under the Central Government, and the personnel of these offices shall abide by the laws of the
Region.

For entry into the Hong Kong Special Administrative Region, people from other parts of China must apply for approval. Among them,
the number of persons who enter the Region for the purpose of settlement shall be determined by the competent authorities of the
Central People’s Government after consulting the government of the Region.

The Hong Kong Special Administrative Region may establish an office in Beijing.

Article 23

The Hong Kong Special Administrative Region shall enact laws on its own to prohibit any act of treason, secession, sedition, subversion
against the Central People’s Government, or theft of state secrets, to prohibit foreign political organizations or bodies from conducting
political activities in the Region, and to prohibit political organizations or bodies of the Region from establishing ties with foreign
political organizations or bodies.

Chapter III Fundamental Rights and Duties of the Residents

Article 24

Residents of the Hong Kong Special Administrative Region (“Hong Kong residents”) shall include permanent residents and non-permanent
residents.

The permanent residents of the Hong Kong Special Administrative Region shall be:

(1)

Chinese citizens born in Hong Kong before or after the establishment of the Hong Kong Special Administrative Region;

(2)

Chinese citizens who have ordinarily resided in Hong Kong for a continuous period of not less than seven years before or after the
establishment of the Hong Kong Special Administrative Region;

(3)

Persons of Chinese nationality born outside Hong Kong of those residents listed in categories (1) and (2);

(4)

Persons not of Chinese nationality who have entered Hong Kong with valid travel documents, have ordinarily resided in Hong Kong for
a continuous period of not less than seven years and have taken Hong Kong as their place of permanent residence before or after the
establishment of the Hong Kong Special Administrative Region;

(5)

Persons under 21 years of age born in Hong Kong of those residents listed in category (4) before or after the establishment of the
Hong Kong Special Administrative Region; and

(6)

Persons other than those residents listed in categories (1) to (5), who, before the establishment of the Hong Kong Special Administrative
Region, had the right of abode in Hong Kong only.

The above-mentioned residents shall have the right of abode in the Hong Kong Special Administrative Region and shall be qualified
to obtain, in accordance with the laws of the Region, permanent identity cards which state their right of abode.

The non-permanent residents of the Hong Kong Special Administrative Region shall be persons who are qualified to obtain Hong Kong
identity cards in accordance with the laws of the Region but have no right of abode.

Article 25

All Hong Kong residents shall be equal before the law.

Article 26

Permanent residents of the Hong Kong Special Administrative Region shall have the right to vote and the right to stand for election
in accordance with law.

Article 27

Hong Kong residents shall have freedom of speech, of the press and of publication; freedom of association, of assembly, of procession
and of demonstration; and the right and freedom to form and join trade unions, and to strike.

Article 28

The freedom of the person of Hong Kong residents shall be inviolable.

No Hong Kong resident shall be subjected to arbitrary or unlawful arrest, detention or imprisonment. Arbitrary or unlawful search
of the body of any resident or deprivation or restriction of the freedom of the person shall be prohibited. Torture of any resident
or arbitrary or unlawful deprivation of the life of any resident shall be prohibited.

Article 29

The homes and other premises of Hong Kong residents shall be inviolable. Arbitrary or unlawful search of, or intrusion into, a resident’s
home or other premises shall be prohibited.

Article 30

The freedom and privacy of communication of Hong Kong residents shall be protected by law. No department or individual may, on any
grounds, infringe upon the freedom and privacy of communication of residents except that the relevant authorities may inspect communication
in accordance with legal procedures to meet the needs of public security or of investigation into criminal offences.

Article 31

Hong Kong residents shall have freedom of movement within the Hong Kong Special Administrative Region and freedom of emigration to
other countries and regions. They shall have freedom to travel and to enter or leave the Region. Unless restrained by law, holders
of valid travel documents shall be free to leave the Region without special authorization.

Article 32

Hong Kong residents shall have freedom of conscience.

Hong Kong residents shall have freedom of religious belief and freedom to preach and to conduct and participate in religious activities
in public.

Article 33

Hong Kong residents shall have freedom of choice of occupation.

Article 34

Hong Kong residents shall have freedom to engage in academic research, literary and artistic creation, and other cultural activities.

Article 35

Hong Kong residents shall have the right to confidential legal advice, access to the courts, choice of lawyers for timely protection
of their lawful rights and interests or for representation in the courts, and to judicial remedies.

Hong Kong residents shall have the right to institute legal proceedings in the courts against the acts of the executive authorities
and their personnel.

Article 36

Hong Kong residents shall have the right to social welfare in accordance with law. The welfare benefits and retirement security of
the labour force shall be protected by law.

Article 37

The freedom of marriage of Hong Kong residents and their right to raise a family freely shall be protected by law.

Article 38

Hong Kong residents shall enjoy the other rights and freedoms safeguarded by the laws of the Hong Kong Special Administrative Region.

Article 39

The provisions of the International Covenant on Civil and Political Rights, the International Covenant on Economic, Social and Cultural
Rights, and international labour conventions as applied to Hong Kong shall remain in force and shall be implemented through the laws
of the Hong Kong Special Administrative Region.

The rights and freedoms enjoyed by Hong Kong residents shall not be restricted unless as prescribed by law. Such restrictions shall
not contravene the provisions of the preceding paragraph of this Article.

Article 40

The lawful traditional rights and interests of the indigenous inhabitants of the “New Territories” shall be protected by the Hong
Kong Special Administrative Region.

Article 41

Persons in the Hong Kong Special Administrative Region other than Hong Kong residents shall, in accordance with law, enjoy the rights
and freedoms of Hong Kong residents prescribed in this Chapter.

Article 42

Hong Kong residents and other persons in Hong Kong shall have the obligation to abide by the laws in force in the Hong Kong Special
Administrative Region.

Chapter IV Political Structure

Section 1 The Chief Executive

Article 43

The Chief Executive of the Hong Kong Special Administrative Region shall be the head of the Hong Kong Special Administrative Region
and shall represent the Region.

The Chief Executive of the Hong Kong Special Administrative Region shall be accountable to the Central People’s Government and the
Hong Kong Special Administrative Region in accordance with the provisions of this Law.

Article 44

The Chief Executive of the Hong Kong Special Administrative Region shall be a Chinese citizen of not less than 40 years of age who
is a permanent resident of the Region with no right of abode in any foreign country and has ordinarily resided in Hong Kong for a
continuous period of not less than 20 years.

Article 45

The Chief Executive of the Hong Kong Special Administrative Region shall be selected by election or through consultations held locally
and be appointed by the Central People’s Government.

The method for selecting the Chief Executive shall be specified in the light of the actual situation in the Hong Kong Special Administrative
Region and in accordance with the principle of gradual and orderly progress. The ultimate aim is the selection of the Chief Executive
by universal suffrage upon nomination by a broadly representative nominating committee in accordance with democratic procedures.

The specific method for selecting the Chief Executive is prescribed in Attachment I “Method for the Selection of the Chief Executive
of the Hong Kong Special Administrative Region”.

Article 46

The term of office of the Chief Executive of the Hong Kong Special Administrative Region shall be five years. He or she may serve
for not more than two consecutive terms.

Article 47

The Chief Executive of the Hong Kong Special Administrative Region must be a person of integrity, dedicated to his or her duties.

The Chief Executive, on assuming office, shall declare his or her assets to the Chief Justice of the Court of Final Appeal of the
Hong Kong Special Administrative Region. This declaration shall be put on record.

Article 48

The Chief Executive of the Hong Kong Special Administrative Region shall exercise the following powers and functions:

(1)

To lead the government of the Region;

(2)

To be responsible for the implementation of this Law and other laws which, in accordance with this Law, apply in the Hong Kong Special
Administrative Region;

(3)

To sign bills passed by the Legislative Council and to promulgate laws;

To sign budgets passed by the Legislative Council and report the budgets and final accounts to the Central People’s Government for
the record;

(4)

To decide on government policies and to issue executive orders;

(5)

To nominate and to report to the Central People’s Government for appointment the following principal officials: Secretaries and Deputy
Secretaries of Departments, Directors of Bureaux, Commissioner Against Corruption, Director of Audit, Commissioner of Police, Director
of Immigration and Commissioner of Customs and Excise; and to recommend to the Central People’s Government the removal of the above-mentioned
officials;

(6)

To appoint or remove judges of the courts at all levels in accordance with legal procedures;

(7)

To appoint or remove holders of public office in accordance with legal procedures;

(8)

To implement the directives issued by the Central People’s Government in respect of the relevant matters provided for in this Law;

(9)

To conduct, on behalf of the Government of the Hong Kong Special Administrative Region, external affairs and other affairs as authorized
by the Central Authorities;

(10)

To approve the introduction of motions regarding revenues or expenditure to the Legislative Council;

(11)

To decide, in the light of security and vital public interests, whether government officials or other personnel in charge of government
affairs should testify or give evidence before the Legislative Council or its committees;

(12)

To pardon persons convicted of criminal offences or commute their penalties; and

(13)

To handle petitions and complaints.

Article 49

If the Chief Executive of the Hong Kong Special Administrative Region considers that a bill passed by the Legislative Council is not
compatible with the overall interests of the Region, he or she may return it to the Legislative Council within three months for reconsideration.
If the Legislative Council passes the original bill again by not less than a two-thirds majority of all the members, the Chief Executive
must sign and promulgate it within one month, or act in accordance with the provisions of Article 50 of this Law.

Article 50

If the Chief Executive of the Hong Kong Special Administrative Region refuses to sign a bill passed the second time by the Legislative
Council, or the Legislative Council refuses to pass a budget or any other important bill introduced by the government, and if consensus
still cannot be reached after consultations, the Chief Executive may dissolve the Legislative Council.

The Chief Executive must consult the Executive Council before dissolving the Legislative Council. The Chief Executive may dissolve
the Legislative Council only once in each term of his or her office.

Article 51

If the Legislative Council of the Hong Kong Special Administrative Region refuses to pass the budget introduced by the government,
the Chief Executive may apply to the Legislative Council for provisional appropriations. If appropriation of public funds cannot
be approved because the Legislative Council has already been dissolved, the Chief Executive may, prior to the election of the new
Legislative Council, approve provisional short-term appropriations according to the level of expenditure of the previous fiscal year.

Article 52

The Chief Executive of the Hong Kong Special Administrative Region must resign under any of the following circumstances:

(1)

When he or she loses the ability to discharge his or her duties as a result of serious illness or other reasons;

(2)

When, after the Legislative Council is dissolved because he or she twice refuses to sign a bill passed by it, the new Legislative
Council again passes by a two-thirds majority of all the members the original bill in dispute, but he or she still refuses to sign
it; and

(3)

When, after the Legislative Council is dissolved because it refuses to pass a budget or any other important bill, the new Legislative
Council still refuses to pass the original bill in dispute.

Article 53

If the Chief Executive of the Hong Kong Special Administrative Region is not able to discharge his or her duties for a short period,
such duties shall temporarily be assumed by the Administrative Secretary, Financial Secretary or Secretary of Justice in this order
of precedence.

In the event that the office of Chief Executive becomes vacant, a new Chief executive shall be selected within six months in accordance
with the provisions of Article 45 of this Law. During the period of vacancy, his or her duties shall be assumed according to the
provisions of the preceding paragraph.

Article 54

The Executive council of the Hong Kong Special Administrative Region shall be an organ for assisting the Chief Executive in policy-making.

Article 55

Members of the Executive Council of the Hong Kong Special Administrative Region shall be appointed by the Chief Executive from among
the principal officials of the executive authorities, members of the Legislative Council and public figures. Their appointment or
removal shall be decided by the Chief Executive. The term of office of members of the Executive Council shall not extend beyond the
expiry of the term of office of the Chief Executive who appoints them.

Members of the Executive Council of the Hong Kong Special Administrative Region shall be Chinese citizens who are permanent residents
of the Region with no right of abode in any foreign country.

The Chief Executive may, as he or she deems necessary, invite other persons concerned to sit in on meetings of the Council.

Article 56

The Executive Council of the Hong Kong Special Administrative Region shall be presided over by the Chief Executive.

Except for the appointment, removal and disciplining of officials and the adoption of measures in emergencies, the Chief Executive
shall consult the Executive Council before making important policy decisions, introducing bills to the Legislative Council, making
subordinate legislation, or dissolving the Legislative Council.

If the Chief Executive does not accept a majority opinion of the Executive Council, he or she shall put the specific reasons on record.

Article 57

A Commission Against Corruption shall be established in the Hong Kong Special Administrative Region. It shall function independently
and be accountable to the Chief Executive.

Article 58

A Commission of Audit shall be established in the Hong Kong Special Administrative Region. It shall function independently and be
accountable to the Chief Executive.

Section 2 The Executive Authorities

Article 59

The Government of the Hong Kong Special Administrative Region shall be the executive authorities of the Region.

Article 60

The head of the Government of the Hong Kong Special Administrative Region shall be the Chief Executive of the Region.

A Department of Administration, a Department of Finance, a Department of Justice, and various bureaux, divisions and commissions shall
be established in the Government of the Hong Kong Special Administrative Region.

Article 61

The principal officials of the Hong Kong Special Administrative Region shall be Chinese citizens who are permanent residents of the
Region with no right of abode in any foreign country and have ordinarily resided in Hong Kong for a continuous period of not less
than 15 years.

Article 62

The Government of the Hong Kong Special Administrative Region shall exercise the following powers and functions:

(1)

To formulate and implement polici

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