Hong Kong and Laos Discuss Gold Market Cooperation and Double Taxation Agreement Negotiations

SFST meets delegation led by Minister of Finance of Laos

The Secretary for Financial Services and the Treasury, Mr Christopher Hui, met a delegation led by the Minister of Finance of Laos, Mr Santiphab Phomvihane, today (March 11). The two sides had discussions over co-operation on the gold market and the upcoming negotiations for a Comprehensive Avoidance of Double Taxation Agreement (CDTA).

"I am glad to meet Mr Phomvihane again after my visit to Laos at the end of 2023. Mr Phomvihane comes here with over 10 senior officials from different government departments, as well as Deputy Governor of the Bank of the Lao PDR (Laos' central bank) Mr Soulysak Thamnuvong, giving us a great opportunity to receive the latest updates on financial developments in the two places for exploring more collaboration," Mr Hui said.

He told the delegation that Hong Kong has been actively consolidating the strengths of its financial system in recent years and broadening the financial value chain to achieve greater financial diversification. Leveraging its robust financial infrastructure, Hong Kong is pressing ahead to develop into an international gold-trading centre, attracting physical gold storage, clearing and delivery in Hong Kong, thereby driving the development of the entire industry chain, ranging from related financial trading, insurance, warehousing, trade and logistics services. As a unique place bridging the Mainland and global markets, Hong Kong will continue deepening its co-operation with international markets, including the Belt and Road countries.

He added, "Amid the increasingly uncertain global landscape, we will continue to maintain close ties with Belt and Road countries for opening up new areas of co-operation and demonstrate the city's roles as a 'super connector' and a 'super value-adder', with a view to achieving mutual benefits and win-win outcomes."

Today, representatives of the Financial Services and the Treasury Bureau and the delegation also conducted in-depth discussions on gold market co-operation. Mr Hui anticipated that the discussions would expedite the signing of a Memorandum of Understanding between the two places, thus laying a solid foundation for future collaboration in jointly building an international gold trading ecosystem.

At the meeting, Mr Hui expressed gratitude to Mr Phomvihane for his unwavering support for the CDTA negotiations between Hong Kong and Laos, the first round of which has been scheduled to take place in Hong Kong from March 23. He hoped that the CDTA could be signed as soon as practicable to create a more attractive business environment for promoting bilateral trade and investment.

The Under Secretary for Financial Services and the Treasury, Mr Joseph Chan, also attended the meeting today.

The Secretary for Financial Services and the Treasury, Mr Christopher Hui (second left), met a delegation led by the Minister of Finance of Laos, Mr Santiphab Phomvihane (second right), today (March 11). The two sides had discussions over co-operation on the gold market and the upcoming negotiations for a Comprehensive Avoidance of Double Taxation Agreement. Source: HKSAR Government Press Releases

The Secretary for Financial Services and the Treasury, Mr Christopher Hui, met a delegation led by the Minister of Finance of Laos, Mr Santiphab Phomvihane, today (March 11). Photo shows Mr Hui (right) and Mr Phomvihane (left). Source: HKSAR Government Press Releases

The Secretary for Financial Services and the Treasury, Mr Christopher Hui, met a delegation led by the Minister of Finance of Laos, Mr Santiphab Phomvihane, today (March 11). The two sides had discussions over co-operation on the gold market and the upcoming negotiations for a Comprehensive Avoidance of Double Taxation Agreement. Photo shows (from left) the Consul General of Laos in Hong Kong, Mr Ammala Saenchonghack; Deputy Governor of the Bank of the Lao PDR Mr Soulysak Thamnuvong; Mr Phomvihane; Mr Hui; the Under Secretary for Financial Services and the Treasury, Mr Joseph Chan; and the Political Assistant to the Secretary for Financial Services and the Treasury, Mr Julian Ip. Source: HKSAR Government Press Releases

Hong Kong Customs detects drug trafficking case involving incoming passenger at airport

Hong Kong Customs detected a drug trafficking case involving two incoming air passengers at Hong Kong International Airport yesterday (May 1) and seized about 12 kilograms of suspected cannabis buds with an estimated market value of about $2.3 million, and nine suspected duty-not-paid cigarettes.

A 37-year-old male passenger arrived in Hong Kong from Bangkok, Thailand yesterday. During customs clearance, Customs officers found a total of about 6kg of suspected cannabis buds in his carry-on baggage. The man was subsequently arrested. After a follow-up investigation, Customs officers further arrested a 34-year-old male passenger, who also arrived from Bangkok, Thailand, and was suspected to be connected with the case, at the airport on the same day. During baggage examination, Customs officers found a total of about 6kg of suspected cannabis buds and nine duty-not-paid cigarettes in his carry-on baggage.

After an investigation, the two arrested persons involved in the case have been jointly charged with one count of trafficking in a dangerous drug. Moreover, the 34-year-old arrestee has also been charged with one count of possession of dutiable goods and one count of failing to declare to a member of the Customs and Excise Service the possession of dutiable goods. The case will be brought up at the West Kowloon Magistrates' Courts on May 4.

Customs will continue to step up enforcement against drug trafficking activities through intelligence analysis. The department also reminds members of the public to stay alert and not to participate in drug trafficking activities for monetary return. They must not accept hiring or delegation from another party to carry controlled items into and out of Hong Kong. They are also reminded not to carry unknown items for other people.

Customs will continue to apply a risk assessment approach and focus on selecting passengers from high-risk regions for clearance to combat transnational drug trafficking activities.

Under the Dangerous Drugs Ordinance, trafficking in a dangerous drug is a serious offence. The maximum penalty upon conviction is a fine of $5 million and life imprisonment.

Under the Dutiable Commodities Ordinance, any person who imports, possesses, sells or buys dutiable commodities without a valid licence commits an offence. The maximum penalty upon conviction is a fine of $1 million and imprisonment for two years.

Members of the public may report any suspected drug trafficking activities to Customs' 24-hour hotline 182 8080 or its dedicated crime-reporting email account (crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002).

Hong Kong Customs detects drug trafficking case involving incoming passenger at airport Source: HKSAR Government Press Releases