Singapore stands to gain from Hong Kong’s troubles

WHATEVER VIEW is taken on the mayhem in Hong Kong—righteous rebellion or obscene rioting—it is a disaster for the territory’s economy. And if one place stands to benefit from Hong Kong’s troubles, it is that other self-governing, Chinese-majority, financial, commercial and shipping hub in East Asia: Singapore.

The two places have always seemed to have much in common. Both are commerce-friendly. Thanks to light-touch regulation and efficient, uncorrupt bureaucracies, Singapore comes second and Hong Kong fourth in the World Bank’s ranking of 190 countries for the ease of doing business. Both cities once prided themselves on their adherence to the rule of law and the low level of violence on the streets.

On all these counts, the events of the past four months have dented Hong Kong’s reputation. Many businesses have been forced into unscheduled closures because mass demonstrations—or in recent days, the suspension of much of its metro system—have kept staff and customers away. As protests have degenerated into street battles, tear-gas, petrol bombs and vandalism have made some parts of town physically hazardous. Hong Kong has sometimes looked closer to anarchy than to the rule of law.

Some data are already available indicating the short-term impact of the unrest. In August the number of tourists entering Hong...

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