Two decades after its return to the "motherland", some people lament that Hong Kong is not the place it used to be. Political protest, symbolised by the "Umbrella Movement" of 2014, has tarnished the island's image of stability and Western-style open society. The tightening grip of Beijing has worn down the territory's mojo, to the dismay of the creative classes, artists and publishers who helped make Hong Kong a bastion of freedom of expression in Asia.
Yet, it is unfair to put the blame entirely on politics. There are new competitors waiting to steal the thunder from Hong Kong. Among them is Singapore, which moved into third place ahead of Hong Kong (behind only New York and London) in the Global Financial Centre Index 2016. Hong Kong fought back and regained third place this year. However, mainland Chinese cities such as Shanghai, Shenzhen and even Beijing are also emerging as competitors.
Hong Kong's role as one of the world's top maritime ports is also under threat. Land constraints and high costs have sent business elsewhere. Ningbo overtook Hong Kong in container throughput in the first half of 2017, only two years after Shenzhen knocked the territory from third spot among the world's top ports.
Hong Kong nowadays positions itself as a tourist city, where visitors came to buy luxury brands, enjoy fine dining and street food and entertain themselves at theme parks. Here it is thriving -- it is the most visited city in the world.
But the DNA of Hong Kong is purely mercantile -- an entrepreneurial spirit that its people are proud of. In the British colonial era it rose to prominence as a treaty port, where elite native Chinese served as compradors or go-betweens, helping foreigners navigate the complexities of dealing with Chinese officialdom. The past defines the future. The small island has gone on to become the regional headquarters for many renowned transnational corporations and banks.
To regain stature and stay ahead in the international trade arena, executives of the Hong Kong Special Administrative Region (SAR) took a careful look at China's Belt and Road initiative. They see a big opportunity to leverage the territory's status as China's most cosmopolitan city and a major gateway.
They believe Hong Kong has many things to offer that the mainland lacks, among them experience as an international financial hub, well-regulated markets and Western-style common law applied to trade-related contracts around the world, and an international mindset unrestrained by political factors.
Former Hong Kong SAR chief executive Leung Chun-ying made plain in his January 2016 policy address that Hong Kong needed to play a role in the Belt and Road scheme. "Mainland enterprises trust us since we are part of China, and international enterprises trust us because of our rule of law tradition and transparent, world-class regulatory practices," he said.
Territorial leaders last year held the first Belt and Road Summit to herald their engagement. They envision Hong Kong as a "super connector" between the mainland and international markets.
Hong Kong leaders are aware that there are perception problems related to the Belt and Road, with some countries and investors wary that the Chinese government will use the plan to further its political agenda.
In this regard, Hong Kong can draw investors' attention to its robust legal system. The former British colony still upholds a common law tradition, underpinned by an independent judiciary. Adherence to the rule of law supports clean government and a level playing field for all businesses. The territory is also known for strong protection of intellectual property rights.
Last month, Hong Kong staged the second Belt and Road Summit under the theme "From Visions to Actions", attended by more than 3,000 people who came for the speeches and business matchmaking opportunities.
Addressing the opening ceremony, Carrie Lam, the new Hong Kong chief executive, said the Belt and Road initiative and investments require "a new mindset for renewed globalisation in the 21st century. A mindset for international connectivity that is unrestrained by political, economic and cultural differences.
"Hong Kong can serve as a super connector for the Belt and Road scheme. Hong Kong can and will make immense contributions to the B&R across all types of connectivity," she said, adding that the central government in Beijing supported Hong Kong's desire to capitalise on its unique advantages, under the "One Country, Two Systems" formula.
Hong Kong aims to cater to the professional services needed for Belt and Road projects such as risk assessment, business research, financing, accounting, insurance, legal counsel and arbitration. It is also eager to provide services related to infrastructure construction and design -- another Hong Kong strength.
Since she took office in July, Ms Lam has already visited Singapore and Thailand. Recently, Hong Kong signed a bilateral trade agreement with Thailand, and a free trade agreement with Asean. Ms Lam said she expects to sign more agreements including one to reduce double taxation.
The Hong Kong Trade Development Council (HKTDC), a non-profit body under the umbrella of the SAR, has a strong mandate to pursue trade facilitation. With 46 offices worldwide, 28 of them in Asia, it acts as an intermediary between investors, project developers and governments.
Vincent Lo, the HKTDC chairman, believes Southeast Asian countries, notably Thailand and Vietnam, will play a pivotal role in the Belt and Road. He brought business leaders from Hong Kong and Shanghai to visit the two countries in May.
Research prepared by the HKTDC has identified eight countries worldwide as best prepared for investment in Belt and Road initiatives. They are Thailand, Vietnam, India, Saudi Arabia, the United Arab Emirates, Poland, Hungary and the Czech Republic.
Mr Lo believes Hong Hong's pure mercantile spirit can make the Belt and Road move ahead more easily.
"China is more politically driven. Obviously Beijing has had its own agenda on who should invest in whom. For Hong Kong, we look at the Belt and Road purely from a business viewpoint," he said.
"If Beijing takes the lead, unfortunately I don't think China can afford to lead in all investments. The amount of money required in this scheme is overwhelming, too large for any single country."
Political factors could complicate progress as well, he acknowledged. "We (China) might be on good terms with Russia but how about some other countries? What if countries [borrowing money from China] cannot pay? What are you going to do? Go to war with them or sue them?"
The pure mercantile spirit was reflected when Mr Lo brought investors from Shanghai and Hong Kong to visit the leaders of Thailand's military government at Government House.
"Thai officials ... they have their own tradition, to sit on a higher platform, so we sat beneath the platform. So all participants felt a bit uneasy," said Mr Lo. "After a while the prime minister (Prayut Chan-o-cha) became more relaxed, and then gave a tour of Government House and took a selfie. It shows that if we are talking business, everyone is willing to talk with us."
Hong Kong companies -- especially service specialists in financing, design or legal services -- already have left their footprints on the Belt and Road. For example, the Hong Kong branch of an international consultancy has provided planning and design for the Jakarta-Bandung and Malaysia-Singapore high-speed railways.
In Thailand, a Hong Kong company has provided asphalt mixing equipment and technical services for a highway maintenance venture in Udon Thani, and a Hong Kong energy service company has designed and built a solar power plant in Lop Buri.