Insights from Global Mobility Services

Hong Kong: Exemption from quarantine for senior executives

4 June 2021

In brief The Hong Kong Special Administrative Region (HKSAR) government has extended its policy to exempt certain categories of persons in the financial services sector from existing compulsory quarantine arrangements on arrival in Hong Kong (exemption scheme).

From 28 May 2021, senior executives of licensed corporations or their overseas affiliates who are fully vaccinated and meet the eligibility criteria may apply for exemption via their respective licensing authorities – the Hong Kong Monetary Authority (HKMA), Securities and Futures Commission (SFC) or Insurance Authority (IA) – from compulsory quarantine requirements when they return or travel to Hong Kong.

In detail Eligibility The following individuals are generally considered eligible to apply under the exemption arrangement:

1. Returning executives – Senior executives of a licensed corporation with global or regional roles returning to Hong Kong from overseas primarily for the purposes of managing the group entities for which they have responsibility; and

2. Visiting executives – Global or regional heads or senior executives of an affiliate of a licensed corporation, who are travelling to Hong Kong primarily for the purposes of managing the licensed corporation. A limit of two returning executives and two visiting executives per licensed corporation will be permitted to enter Hong Kong under this exemption scheme per calendar month. The category of persons eligible for exemption and the quota of the exemption scheme vary slightly in the detailed notices issued by the HKMA, SFC and IA respectively.

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Application requirements Applications under the exemption should be submitted by the sponsoring licensed corporation directly to the relevant licensing authority. Key requirements include: 1. Copy of the individual’s Hong Kong identity card or passport identity page; 2. Itinerary for the entire proposed duration of stay for visiting executives or for the entire medical surveillance period for returning executives, including details of arrival and departure dates, accommodation or designated quarantine hotel, organisations and venues to be visited with dates and times of each visit, and compulsory COVID-19 test visits for self-isolating individuals (see table below); and 3. Proof of completed COVID-19 vaccination course from the list of vaccines recognised by the HKSAR Government.1

Further details on the application forms, documents and process can be obtained from the relevant authority’s dedicated webpage or online portal.2 Successful applicants will be issued with an approval letter by the licensing authority which must be carried and presented on arrival in Hong Kong. Entry into Hong Kong will also be subject to meeting all other applicable COVID-19 testing requirements, including pre-departure testing where applicable.3

Requirements on arrival The relevant self-isolation, compulsory testing and medical surveillance requirements are determined by each individual’s travel history in the 21 days prior to their date of arrival in Hong Kong. Each departure location is categorised by the HKSAR Government into different groups according to the prevailing risk profile of the specified place and is subject to change at any time.4 Current requirements are summarised below.

Requirements Group A1 and A2 Group B Group C Group D (low- Mainland or (extremely high-risk and Taiwan (medium risk) risk) during the Macau during the and very high-risk) (high-risk) during the 14 14 days prior to 14 days prior to during the 21 days during the days prior to arrival in Hong arrival in Hong prior to arrival in Hong 14 days arrival in Hong Kong Kong Kong prior to Kong arrival in Hong Kong Quarantine Self-isolation for 14 days Self-isolation for 14 days at No self-isolation No self-isolation period at designated quarantine designated quarantine hotel hotel or accommodation in line with Department of Health Permission to leave guidelines hotel for the sole purpose of attending Permission to leave the business activities in premises for the sole purpose accordance with the of attending business itinerary with point-to- activities in accordance with point transportation the itinerary using point-to- point transportation

1 https://www.coronavirus.gov.hk/pdf/list_of_recognised_covid19_vaccines.pdf 2 SFC webpage: https://apps.sfc.hk/edistributionWeb/gateway/EN/circular/doc?refNo=21EC18 IA webpage: https://www.ia.org.hk/en/infocenter/forms/Exemption_From_Quarantine.html HKMA: application information currently only available via online portal for licensee access 3 https://www.coronavirus.gov.hk/eng/exempted-persons-faq.html#FAQ1 4 https://www.coronavirus.gov.hk/eng/high-risk-places.html

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Additional Days 3, 7, 12, 16, 19, 26 Days 3, 7, 12, 16, 19 Days 3, 7, 12 Arrival via: COVID-19 tests • Hong Kong International Airport: Day 12 • Land boundary control points: Days 2, 12 Medical 21 days 14 days 14 days 14 days surveillance

Ongoing obligations The individual must undergo compulsory COVID-19 testing as scheduled. For the duration of the visit or the medical surveillance period (whichever is the longer), the individual is permitted to undertake the business activities approved and endorsed by the sponsoring licenced corporation on the itinerary. Any contraventions of the conditions will result in the removal of the exemption status of the individual. Failure to observe conditions of the exemption is an offence and on conviction, they may be liable to a fine of HK$5,000 and to imprisonment for six months.

The sponsoring licenced corporation must keep up to date records of the itinerary and submit an attestation every three working days or at halfway point (whichever is earlier), and on the last day of the individual’s trip. The corporation must also ensure compliance with point-to-point transportation (no public transport can be used) and Department of Health guidelines for non-designated hotel accommodation. If the individual is confirmed or suspected to be infected with COVID- 19 during the trip and within 14 days of departure, or during the medical surveillance period, the corporation must report this as soon as possible to the relevant authorities.

The takeaway The relaxation of compulsory quarantine requirements should come as welcome news for financial sector institutions whose senior executives will now be able to benefit from increased mobility. Significantly, while non-Hong Kong residents are generally restricted from entering into Hong Kong under the prevailing rules (excepted for certain designated situations), the exemption arrangement also allows eligible senior executives who are non-Hong Kong residents to visit Hong Kong, provided they obtain the relevant exemption approval from the HKMA, SFC or IA. From a Hong Kong immigration perspective, eligible foreign senior executives who wish to travel to Hong Kong should also pay attention to and comply with relevant immigration requirements, for example obtaining the necessary immigration permission to visit Hong Kong and conducting only permitted business activities during their periods of stay in Hong Kong.

As the COVID-19 situation continues to evolve, the aforementioned newly introduced exemption may be subject to change at any time. Employers and globally mobile employees are advised to stay abreast of the latest developments when business trips are planned.

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Let’s talk For a deeper discussion of how this impacts your business, please contact your Global Mobility Services engagement team or one of the following professionals: Global Mobility Services – Hong Kong

James Clemence, PwC Hong Kong, Asia Leader [email protected]

Global Mobility Services – Global

Leo Palazzuoli, PwC United Kingdom, Global Leader [email protected]

Meet the Global Mobility Services global leadership team

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