Archaeological evidence shows Hong Kong has been inhabited since the Stone Age. Han Chinese people began settling here in the Song dynasty, but it remained a relatively obscure corner of Guangdong province until British opium merchants recognised the advantages of"annexing"45 sq km of the best deep-water harbour in the region. In this they proved more far-sighted than their monarch."Albert," tutted the Queen, "is so much amused by my having got the island of Hong Kong , and we think Victoria ought to be called Princess of Hong Kong in addition to Princess Royal." And foreign secretary Lord Palmerston has gone down in history as calling it "a barren island with hardly a house upon it."
The former British colony of Hong Kong can be divided into four parts: Hong Kong Island, Kowloon,the New Territories, and the numerous outlying islands. Hong Kong Island is 75sq km of messy real estate. The earliest British settlements were established here, so consequently Queen Victoria's little "joke" is today dominated by grand financial institutions, enormous, impressively futuristic buildings, opulent hotels,splendid residences, fine beach resorts, and some fo the oldest Chinese communities.