Hong Kong at evening

Protests raise fears for Hong Kong banking sector

PEERING down from their gleaming tower blocks at pro-democracy activists on the streets, Hong Kong’s bankers and traders cannot help but worry that the island’s financial community will pay a heavy price if the city further infuriates Beijing. Hong Kong lives with the threat that its crucial role as China’s biggest yuan hub will become diminished as business flows to the mainland’s growing financial centres, Shanghai and Shenzhen.The past week has seen the strongest protests yet in the former British colony against Beijing’s control. The idea that Hong Kong could become a hotbed of social discontent raises questions for bankers about how long the city can expect to receive the special treatment that has helped it to generate enormous business from China’s strategy of internationalising the yuan. Read more: