The agency answers to the State Council of the People's Republic of China, as well as the Central Leading Group on Hong Kong and Macau Affairs of the CCP.

According to its website, the agency's main functions are:[9] Ho Lok-sang, writing for China Daily, posited the importance of understanding the differences in the roles of the Hong Kong and Macao Affairs Office of the State Council and those of the Liaison Office of the Central People's Government in the Hong Kong Special Administrative Region (HKSAR).

[10] Both organisations’ natures dictate the developments in Hong Kong and the smooth functioning of “one country, two systems” (OCTS) policy.

[10] Current director Xia Baolong also was the vice chairman of the Chinese People's Political Consultative Conference between 2018 and 2023, becoming the highest-ranking official to hold the office in a decade.

[12] This is the first time a state leader, Xia Baolong, was put in charge of the cabinet-level office that oversees the affairs of Hong Kong and Macau.

[13] This move has not only strengthened the central government's direct supervision over the implementation of its policies in Hong Kong and Macau, and reduced incumbent chief Zhang Xiaoming's authority in an unexpected demotion,[13] but is also a countermeasure to ensure civil obedience after months of social turmoil and anti-government protests in Hong Kong.

[8] Cheng Yan — a columnist who wrote a commentary published on Orangenews.hk — also argued that these changes were parts of a proactive reform of the “one country, two systems” principle, and urged Hong Kong society to take initiative to act in concert with China's development and safeguard the “one country, two systems” principle in the city.

As of 1990, the Work Committee was downgraded and tighter control of the Hong Kong and Macau Affairs Office was reinforced to resolve the issue.

On 20 December 2021, G7, European Union (EU), and Five Eyes members issued public remarks to criticize the Legislative Council election.

They described the electoral system as ‘Beijing’s strategy to ensure only “patriots” hold office' and criticized the low turnout rate.

The spokesman also said in the same statement that western countries have always offered a political platform for the anti-China gangs, incited them, and provided capital support to them to organize illegal movements.

[18] On 9 May 2022, G7 issued a press statement which expressed “grave concern over the selection process” of Hong Kong's new leader and described it as “part of an ongoing assault on political pluralism and fundamental freedoms”.

The spokesman also remarked that China has ‘moved away from the era of national humiliation’ and ‘will not allow any blatant interference of local affairs.’ In April 2020, the HKMAO expressed approval of the Court of Appeal judgment upholding the constitutionality of the Emergency Regulations Ordinance and disapproval of certain current affairs in the Legislative Council.

He noted that the difference between intervening in Hong Kong's internal affairs and expressing concern over some troubling developments shall be drawn, and whether an act committed by the HKMAO constitutes an intervention of the Basic Law shall be assessed “when there is a substantive impact on the actual operation of the political system.”[10] The HKMAO issued a statement against pro-democracy figures who organized primaries for the Hong Kong Legislative Council in 2020, saying that it was "an unlawful manipulation of Hong Kong elections" and a "blatant challenge" to the Basic Law, despite the Basic Law's Article 68 stating that the ultimate goal is to have universal suffrage for all members of the Legislative Council.