Politics of Hong Kong Politics of Hong Kong The politics of Hong Kong takes place in a framework of a political system dominated by its quasi-constitutional document, the Hong Kong Basic Law, its own legislature, the Chief Executive as the head of government and of the Special Administrative Region and of a multi-party system. Executive power is exercised by the government. On 1 July 1997, sovereignty of Hong Kong was transferred to China (PRC), ending over one and a half centuries of British rule. Hong Kong became a Special Administrative Region (SAR) of the PRC with a high degree of autonomy in all matters
Handover of Hong Kong of the talks, the British government proposed an exchange of sovereignty for administration and the implementation of a British administration post-handover. The PRC government refused, contending that the notions of sovereignty and administration were inseparable, and although it recognised Macau as a "Chinese territory under Portuguese administration", this was only temporary. In fact, during informal exchanges between 1979 and 1981, the PRC had proposed a "Macau solution" in Hong Kong, under which it would remain under British administration at China's discretion. However, this had previously been rejected following the 1967 Leftist riots, with the then Governor, David Trench, claiming the