On December 19, 1984, the United Kingdom ("UK") transferred the rights of Hong Kong to China to take effect on July 1, 1997. In particular, Britain Prime Minister Margaret Thatcher and Chinese Prime Minister, Zhao Ziyang, met in Beijing, China and singed the Joint Declaration of the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the People’s Republic of China on the Question of Hong Kong, commonly referred to as the "Sino-British Joint Declaration."

Britain signed three major treaties with China in the 19th century that paved the way for how and why the Sino-British Joint Declaration came about in 1984. In particular, Britain and China signed: (i) the Treaty of Nanking in 1842, where Hong Kong Island was given to Britain in perpetuity; (ii) the Convention of Peking in 1860, where part of other islands were given to Britain in perpetuity; and (iii) the Convention of 1898, where the New Territories, the majority of present-day Hong Kong, were leased to Britain for 99 years from July 1, 1898 to July 1, 1997.

Because the New Territories, which included most of present-day Hong Kong, were only leased (as opposed to given/ceded) to Britain, the British government had to enter negotiations with China on the future of Hong Kong. After negotiations, Britain agreed to return Hong Kong to China with some restrictions.

On this day, December 19, 1984, the UK and China signed the Sino-British Joint Declaration where the UK declared it would give Hong Kong back to China on July 1, 1997 (at the end of the New Territories’ lease). But the UK required that China adopt the concept of "One country, Two systems," for Hong Kong for fifty years. In short, this meant that while China gained Hong Kong it would not interfere with Hong Kong’s government or way of life for 50 years. As such Hong Kong would enjoy nearly complete autonomy in all matters, except foreign and military issues, until July 1, 2047.

Today, Hong Kong is part of China but retains great autonomy. As such, Hong Kong has embraced capitalism and does not run a Chinese socialistic type of government.

Hong Kong is also one of the world's leading international financial cities fueled by free trade, low taxes, and minimal government regulations. It is renowned for its majestic skyline, beautiful harbor, exciting nightlife, and dense population. However, the future of Hong Kong will again face changes when it loses its autonomy to China on July 1, 2047.