The PRC promulgated the Basic Law under Article 31 of its own Constitution, which allows for ˘Special Administrative Regions÷ within the Chinese state. Specifically, Article 31 provides that China ˘may establish special administrative regions when necessary. The systems to be instituted in special administrative regions shall be prescribed by law enacted by the National PeopleĂs Congress in the light of the specific conditions÷ (Constitution of the PeopleĂs Republic of China, Art. 31).
Qiao Xiaoyang, in an article analyzing the political relationship between China and Hong Kong, argues that although the PRC Constitution respects the initiative and enthusiasm of local authorities, the central authority of the PRC still provides the unified leadership for all ChinaĂs provinces and special regions. Thus, Xiaoyang contends that the relationship between the PRC and the HKSAR remains a unitary relationship with sovereignty residing in the central organs of the state. The powers enjoyed by the HKSAR are not inherent to the HKSAR, but rather are bestowed upon the HKSAR by the central authorities in the PRC. Thus, Xiaoyang likens the relationship between the PRC and the HKSAR as ˘tantamount to that of the central authorities with various provinces, autonomous regions and municipalities directly under the Central Government