Hong Kong Inches Toward Normalcy With Move to Open Schools, Bars

(Bloomberg) -- Hong Kong leader Carrie Lam moved to loosen curbs on social gatherings and reopen shuttered schools, as a lull in coronavirus infections set the stage for fresh political battles over the future of the Asian financial hub.

Lam raised the number of people allowed to gather in groups to eight, from four currently, and said gyms and movie theaters would be allowed to reopen. Bars will also reopen with capacity restrictions -- and live music performances and dancing won't be permitted. The changes go into effect Friday. Schools will also start resuming later this month in phases.

“Experts are of the view it's time to relax some of the measures to some extent,” she told reporters Tuesday. “But I must stress that the epidemic may flip flop in a way, and we must remain vigilant continuously.”

Measures announced included:

Bars, gyms, cinemas, gaming centers, massage parlors and mahjong parlors to resume operations, with some restrictions
Secondary school levels 3 to 5 will resume May 27
Kindergarten level 3 to primary level 3 will resume on June 15
Kindergarten levels 1 and 2 won't reopen this year
Reusable masks to be sent to every city resident who registers online
10 single-use masks will be mailed to each household by the end of June

While relaxing social distancing measures vindicates Hong Kong's strategy to fight the virus, it could also facilitate the return of pro-democracy protests that rocked the former British colony last year. Activists have already held several demonstrations inside malls in recent days, and the opposition lawmakers are hoping to rebuild the political momentum needed to secure a majority on the city's elected Legislative Council in September.

Lam hinted at future battles to come in remarks to reporters before announcing the measures. She said she hoped that the Legislative Council would resume debate over a controversial bill that would make disrespecting the Chinese national anthem a crime, a measure that could prompt more protests.

New ‘Coalition'

Even as Lam prepared to loosen the virus curbs, two of her predecessors led a news conference to announce a new “Hong Kong Coalition” of some 1,500 business leaders and pro-establishment figures. The group led by former Chief Executives Tung Chee-hwa and Leung Chun-ying said they wanted to promote economic recovery, oppose violence and support the “one country, two systems” China has used to govern the city since the British left in 1997.

Hong Kong Police Disperse Protesters Gathered at City Mall

The group's supporters include the city's richest man, Li Ka-shing and his sons Victor Li and Richard Li, as well as members from the Kwok family, which owns the city's largest developer Sun Hung Kai Properties Ltd. It was unclear what role the organization would play in the upcoming elections, although it planned an event Saturday to distribute masks.

“It's for election purposes, to kind of help street-level mobilization and also on the government campaign theme against the democrats,” said Ma Ngok, a professor at Chinese University of Hong Kong's department of government and public administration. “They're trying to take advantage of the economic situation,” Ma said, adding, “that's kind of a conservative tone, which I think is in line with the propaganda of the pro-Beijing press in recent weeks.”

The Asian financial hub, which just suffered its worst economic quarter on record, has mostly contained Covid-19 through a mix of early social distancing measures starting in late January, travel restrictions, contact tracing and mandatory quarantines. Hong Kong has reported zero new daily cases for 10 of the past 16 days and hasn't seen a virus-related death since mid-March. Almost all of the newer infections were found in people with a recent travel history.