HONG KONG SAR, CHINA Law and Practice Contributed by: Alfred Ip, Hugill & Ip
7. Citizenship and Residency 7.1 Requirements for Domicile, Residency and Citizenship Hong Kong does not have its own citizenship, as it is a Special Administrative Region (SAR) of the People’s Republic of China. Individuals who are connected to Hong Kong may hold a Hong Kong Permanent Iden - tity Card and enjoy the Right of Abode in the HKSAR, which is the closest equivalent to permanent residen - cy. The Right of Abode confers the right to land in, enter, and remain in Hong Kong without restriction. Under the Basic Law and the Immigration Ordinance (Cap. 115), Chinese nationals who were born in Hong Kong, or who have ordinarily resided in Hong Kong for a continuous period of not less than seven years and have taken Hong Kong as their place of permanent residence, are entitled to the Right of Abode. Non-Chi - nese nationals may also acquire the Right of Abode if they have entered Hong Kong with a valid travel document, have ordinarily resided in Hong Kong for a continuous period of not less than seven years, and have taken Hong Kong as their place of permanent residence. The requirements for the Right of Abode are set out on the Immigration Department’s website. The Domicile Ordinance (Cap. 596) governs domicile in Hong Kong. A person acquires a domicile of choice in Hong Kong by being physically present in Hong Kong and forming the intention to reside there per - manently or indefinitely. The concept of domicile is relevant to the choice of law rules governing succes - sion to moveable property, and to the application of the Inheritance (Provision for Family and Dependants) Ordinance. 7.2 Expeditious Citizenship Whilst Hong Kong does not offer a citizenship-by- investment programme, it reintroduced the Capital Investment Entrant Scheme (CIES) in March 2024 as a pathway to residency for high net worth indi - viduals. Under the scheme, eligible applicants must demonstrate net assets of not less than HKD30 mil - lion throughout the two years preceding the appli - cation and must make a net investment of not less than HKD30 million in permissible investment assets in Hong Kong. Permissible assets include equities
listed on the Hong Kong Stock Exchange, debt secu - rities, certificates of deposit, subordinated debt, and eligible collective investment schemes. A mandatory contribution of HKD3 million must be made to the new Capital Growth Portfolio managed by the Hong Kong Investment Corporation Limited. Successful CIES applicants, together with their spouses and unmarried dependent children under 18, are granted permission to remain in Hong Kong. After seven years of continuous ordinary residence, they may apply for the Right of Abode. The scheme has attracted significant interest from mainland Chi - nese, Southeast Asian, and Middle Eastern investors seeking to establish a Hong Kong base. As of 2025, over 800 applications had been received in the first year of the scheme’s operation, demonstrating strong demand. For an analysis of the scheme’s implications for wealth planning, see the Chambers Update on the CIES. 8. Planning for Minors, Adults with Disabilities and Elders 8.1 Special Planning Mechanisms Planning for vulnerable individuals, including minors, adults with physical or intellectual disabilities, and elderly persons at risk of losing mental capacity, requires a thoughtfully tailored combination of legal structures and practical arrangements. The overarch - ing objective is to ensure that the vulnerable person’s financial needs are met, their welfare is protected, and their assets are managed by a trusted and account - able person or institution. For minors, the primary planning tools are testamen - tary trusts (established under a will to take effect on the testator’s death) and inter vivos trusts (established during the settlor’s lifetime). A testamentary trust for a minor typically provides for the trustee to manage the assets and apply income and capital for the minor’s maintenance, education, and benefit until the minor reaches a specified age, at which point the capital is distributed. The age of distribution can be staggered ‒ for example, one-third at 21, one-third at 25, and the balance at 30 ‒ to allow the beneficiary to develop financial maturity before receiving the full inheritance.
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