A leading member of Beijing's top think tank on Hong Kong said on Friday he believes President Xi Jinping's speech has set out more urgent and specific requirements for the work of the new government.

Lau Siu-kai, vice-president of the Chinese Association of Hong Kong and Macau Studies, said the president has stressed that the next five years will be a turning point for the city's development and One Country, Two Systems, and he highlighted his expectations for Chief Executive John Lee's administration to improve governance and to have the courage to overcome obstacles posed by vested interests.

Hong Kong's sole deputy to the National People's Congress Standing Committee, Tam Yiu-chung, said President Xi's speech addressed concerns about the city's future after 2047 by stressing there is no reason to change One Country, Two Systems.

Tam believed the four "hopes" outlined by the president – to enhance governance, strengthen the SAR’s development momentum, improve people's livelihoods and uphold the city's harmony and stability – are not only the responsibility of the new administration, but also key to maintaining stability and prosperity in Hong Kong.

The DAB said President Xi's address provided forward-looking guidance, effectively dispelled misunderstandings about the future of Hong Kong and further consolidated the confidence of all sectors in society to unite and move forward.

The Liberal Party said the remarks on One Country, Two Systems offered a major boost to the future development of the SAR, adding that it believes the new administration will live up to the president's expectations.

Executive councillor and Business and Professionals Alliance lawmaker Jeffrey Lam said the president's affirmation of Hong Kong's status as an international financial centre helped improve the confidence in all sectors on developing the SAR.