“The central government firmly supports Hong Kong’s economic development and Hong Kong’s protection of investor interests. Hong Kong will definitely develop better and better in the new stage, going from order to prosperity.”

Xia also said that Hong Kong’s remarkable achievements in economic development after its return to the country were gained with the efforts of various chambers of commerce and companies.

“Hong Kong is a paradise for business executives to start their own businesses and a place to achieve their dreams,” the statement cited Xia as saying, referring to the city’s advantages such as its business environment, rule of law, simple tax system and its high degree of internationalisation.

Lee said Xia “attached great importance to Hong Kong’s status as an international city and listened to the opinions of local and foreign chambers of commerce”, who later said they asked for easier access to the Greater Bay Area, Beijing’s plan to link 11 southern cities into an economic powerhouse.

The top Beijing official is making a weeklong fact-finding trip, which Lee said centred around economic development and district governance. It is Xia’s second visit in less than a year and his first since the city’s electoral system was overhauled to allow only “patriots” to run.

The one country, two systems principle was one of 10 things that made Hong Kong different from mainland Chinese cities, Xia told the representatives, according to one attendee who asked not to be identified. Other distinguishing features were the city’s legal system, stock market, number of international banks and proficiency in English, the official was quoted as saying.

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The attendee cited Xia as saying that the one country, two systems principle would remain as “a permanent structure” and the country’s high-quality development would continue to support Hong Kong’s position as an international financial centre.

“Concerns raised during the meeting were mainly about the city’s economy, which has been heavily battered by the three years of Covid-19,” he added.

Representatives of 15 business lobbies spoke at the meeting, according to the attendee. Seven were from local chambers, four from Southeast Asian ones, three from groups belonging to European countries and one from a body with a Middle Eastern country.

He said none raised concerns about the domestic national security legislation required under Article 23 of the Basic Law, the city’s mini-constitution. No representatives of the British or US chambers of commerce spoke at the meeting, the insider added.

The proposed legislation, which will sit alongside the national security law that Beijing imposed in 2020, targets five new types of offences: treason, insurrection, theft of state secrets and espionage, sabotage endangering national security, and external interference. Its 30-day consultation exercise ends on Wednesday.

Betty Yuen So Siu-mai, chairwoman of the Hong Kong General Chamber of Commerce, called the meeting a boost of confidence for investors. She added that the Beijing official was “obviously very caring about the situation about Hong Kong”.

Xia “emphasised that Hong Kong’s investment and property were protected,” she said. “He also called on the business community to invest with confidence.

“He reiterated the comment from President Xi [Jinping] about the one country, two systems being a very good policy that is working very well for Hong Kong, and there is no reason to make any changes in the long term.”

But she stressed Hong Kong needed to reposition itself or risk becoming less competitive than neighbouring cities.

“Chambers and businesses in the Greater Bay Area feel that the region has huge potential for Hong Kong businesses,” she said, adding attendees proposed additional measures to make it easier for local companies and residents to do business in the bay area.

Wilhelm Brauner, chairman of the Austrian Chamber of Commerce, said after the meeting he had conveyed the hope of his members for new ways allowing easier movement in and out of the bay area. He added that they would pay attention to the situation after the new national security law came into force.

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“With the rule of law and traditions of Hong Kong, I have confidence it will be handled accordingly,” he said.

Malaysian Chamber of Commerce chairman Gan Khai Choon also expressed confidence in the proposed legislation after the meeting, noting how the business of his members was badly affected during the anti-government protests in 2019.

“We realise that after the recent announcement [regarding Article 23], our business and our friends from Malaysia and Southeast Asia are very confident to return to Hong Kong as tourists, as businessmen and continue to stay here,” he said, adding he looked forward to seeing greater collaboration with Hong Kong and the mainland.

Xia also had another 90-minute closed-door meeting with about 30 local patriotic groups and associations, including the Hong Kong Coalition and Heung Yee Kuk rural body, where the local economy and people’s livelihood were discussed.

Xia asked the groups to remain united in support of city leader Lee, according to Secretary for Home and Youth Affairs Alice Mak Mei-kuen, who took part in the meeting.

A work dinner was also held between Xia and company representatives to discuss attracting strategic enterprises to the city.

Earlier in the day, Xia met local regulators, with Secretary for Financial Services and the Treasury Christopher Hui Ching-yu saying Beijing attached “great importance” to Hong Kong’s role as the country’s international financial hub.

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“Director Xia highly values Hong Kong’s status as the country’s financial centre and its past contributions to national development,” Hui told journalists after the meeting.

“We should devote our minds to developing the financial market, boosting the Stock Connect [with mainland China] and expanding the offshore renminbi market.”

The country introduced a mutual market access scheme in 2014 that allowed investors from Hong Kong to trade in Shanghai’s domestic A-share and vice versa. The agreement was expanded to Shenzhen two years later.

Hui said Xia also used the morning meeting to hear views from attendees on how the finance industry could continue to thrive in the city.

Hong Kong Monetary Authority CEO Eddie Yue Wai-man, Securities and Futures Commission chief executive Julia Leung Fung-yee and Financial Services Development Council chairman Laurence Li Lu-jen were also among those who attended.

On Tuesday, the sixth day of his trip, Xia will pay a visit to the West Kowloon Cultural District and the Hong Kong Palace Museum, before talking with local people and later a range of economic experts.

The Beijing official will leave the city on Wednesday, the same day Chan unveils his budget.

Additional reporting by Connor Mycroft