The Basic Law specifies that in addition to Chinese, English can be used in government bodies and the HKSAR can use its own regional flag and emblem, in addition to the national flag and the national emblem of the PRC. It aims to maintain the capitalist economic and commercial systems previously practiced in Hong Kong. The third paragraph lists the PRC`s basic policy regarding Hong Kong: but before Hong Kong`s return, Britain and China agreed on the establishment of one “country, two systems”. The relationship between Hong Kong and mainland China is far more complex than most people realize. It`s about politics, economics, trade, laws and, above all, people. One of the major achievements has been to ensure the continuity of independent justice in Hong Kong, including agreements in the areas of commercial shipping, civil aviation, nuclear materials, whaling, underwater telegraph, space and many others. It also approved a network of bilateral agreements between Hong Kong and other countries. Within the framework of these agreements, the continued application of some 200 international conventions to the HKSAR after 30 June 1997 was concluded. Hong Kong is expected to continue to participate in various international organizations after the handover.

On December 19, 1984, after years of negotiations, the British and Chinese leaders signed a formal pact authorizing the colony`s turnover in 1997 in exchange for the formulation of a “One Country, Two Systems” policy by the Chinese Communist government. .