Hong Kong had been governed by the Basic Law of Hong Kong Special Administrative Region (HKSAR) since 1997. The HKSAR guarantees that Hong Kong may handle its own external affairs autonomously. However, Wu Bangguo has indicated that the political situation might be changing.
From the Peninsula:
China was seen to be taking a tougher line against allowing greater electoral freedoms in Hong Kong, said local politicans yesterday, after the head of China’s parliament said the city wasn’t free to do as it wished.“Hong Kong’s administrative autonomy is not intrinsic…it is granted by the central government,” said Wu Bangguo, the Chairman of the National People’s Congress in a speech to senior Hong Kong officials, including the city’s Chief Executive, Donald Tsang.
“I think (Beijing) intends to suppress the expectations of democracy of the Hong Kong people because it thinks the expectations are too high,” said Albert Ho, the Chairman of Hong Kong’s Democratic Party in response to Wu’s comments. [Full Text]
See also the People’s Daily article that further explains Hong Kong’s democratic development.