Hong Kong history
Following the end of the first Opium War with China, the Treaty of Nanking in 1842 ceded Hong Kong to Britain in perpetuity. The second half of the 19th Century saw the western Powers, Russia and Japan opening concessions in over 30 Chinese 'Treaty Ports'. Through an additional conflict in 1860 Hong Kong gained Kowloon and Stonecutters Island. In 1898 Britain acquired the New Territories on a 99-year lease.
The second world war & the handover
On Christmas Day, 1941, the British army surrendered Hong Kong to the Japanese.
Following Japan's surrender on August 14, 1945 Britain reclaimed the territory. In 1984, the Joint Declaration signed by Britain and China agreed that the sovereignty of Hong Kong would revert back to China in 1997.
From July 1, 1997, become a Special Administrative Region (SAR) of the People's Republic of China.
Post 1997
Hong Kong remains a Capitalist economy, with it's constitution enshrined in the 'Basic Law'. The Beijing Government can be called on to interpret the Basic Law, which they did in the 'right of abode' cases. Hong Kong's government ('Legco') is largely appointed, not democratically elected. The Joint Declaration provides that Hong Kong's lifestyle will remain unchanged for 50 years post-1997. The territory will enjoy a high degree of autonomy, except in foreign and defence affairs and China's socialist system and policies will not be practiced in the SAR. Recent proposed changes to Article 23 aroused much discussion about individual freedom. Organizations like Falun Dafa ('Fulang Gong') are particularly concerned as they are banned in China.
Population
Hong Kong has a population of over 7 million, comprising local Chinese, second/third generation immigrants from ex-colonies such as India, foreign visitors and workers. The latter category includes several hundred thousand migrant workers from Indonesia, The Philippines and Thailand. They are principally employed as domestic helpers. This mix of influences is evident in the festivals and mix of Chinese/Western public holidays celebrated throughout the year.