The 2014 Hong Kong protests, otherwise known as the Umbrella Revolution, is bound to impact long-term economic and business matters. On September 26th, pro-democracy activists began protesting because their right to civil nomination is being deprived. Not long after, this civil dis-obedience event became global news. Hong Kong’s economy is one that depends much on tourism and retail industries, which makes up approximately 10% of its gross domestic product. Given that Hong Kong’s international financial centre can be easily jeopardized, an economic downturn for China is highly likely. As a result, China may wish to resolve this issue with “heavy-handed” ways. Being in the spotlight because of its impressive economic and military superpower, China will face many consequences which can possibly limit its influence in global policy making.

Andrew Colquhoun, head of Asia-Pacific Sovereigns at Fitch, posed a question: “Will this political stand-off  impact domestic and foreign perceptions of Hong Kong’s stability and attractiveness as an investment destination?” The answer remains unknown and the only way to find out is to observe patiently.

A large number of people from around the globe are supporting the protestors, especially because of the unnecessary violent attack on the students demonstrated by the police. China needs to find a solution to this political issue before it turns into an economical issues, as well.  If the uncertainty of how long the demonstrations will last continues, Hong Kong’s economy will plummet and it can potentially be pushed into recession.