Police have banned two Chinese pro-democracy activists from Brisbane's G20 security zones - virtually the city's entire CBD - after they unfurled a protest banner near the Chinese president's hotel.

The 'furious' activists now say Australia is ruining its democracy after police punished them for wielding their banner near the Stamford Plaza Hotel on Thursday evening.

Queensland University of Technology students Tony Zhang, 21, and Nardo Wai, 23, said they had unfurled the banner for 'just ten seconds' when police swooped.

Scroll down for video

Tony Zhang, 21, (front) and Nardo Wai, 23, (behind) have been banned from Brisbane's G20 exclusion zone for protesting

The pair unfurled this banner outside the Chinese president Xi Jinping's hotel on Thursday afternoon before being swooped by police

Mr Zhang (far left) and Mr Wai (second from left) were questioned by police before being issued Exclusion Notices

Mr Zhang (left) said he had been arrested in China before and moved to Australia out of dislike of the Chinese government

The banner was a reference to pro-democracy protests that broke out in Hong Kong in September, pictured

Their bright yellow sign said 'Support HK Umbrella Revolution', a reference to pro-democracy protests that broke out in Hong Kong in September.

After intense questioning involving around half a dozen police, witnessed by Daily Mail Australia, the pair were handed Exclusion Notices which barred them from the entire G20 Security Area and insisted they leave immediately.

If they returned to the Security Area they would likely face charges.

Mr Zhang (right) is on a hunger strike until the G20 finishes, here with Mr Wai (left) holding their notices

The men say they believe Australia is becoming less democratic and losing its precious freedoms

The students also revealed they would have been happy to simply leave the area if asked to by officers

They revealed all they wished to come from the exercise was for the Chinese president to see their protest

The notices said they were in 'possession of a prohibited item' - the banner - 'without lawful excuse'

Mr Zhang, an IT student who has been arrested in China before said: 'The reason why I come to Australia to study (is) because I don't like Chinese government, because I think there's no democracy in China.'

But now Mr Zhang - who is on a hunger strike until the G20 finishes - said he believes the country he arrived in earlier this year is losing its precious freedoms.

'Before what happened today I did not really believe [rumours Australia was becoming less democratic], but now I believe Australia is losing its democracy,' he said.

The notices said they were in 'possession of a prohibited item' - the banner - 'without lawful excuse'. Mr Wai said they would have just left the area if they had been asked.

The Queensland State Government introduced tough new security laws - criticised as draconian by civil libertarians - specifically for the G20 Summit, which will hold its leader's meeting at the weekend.

Several other items are prohibited in G20 areas under the Security Act, including weapons, antique firearms, replica guns, bows, cattle prods, urine, nails, eggs, tacks, a reptile, an insect, metal cans and fireworks.

Brisbane is in lockdown with thousands of police patrolling the area on land, sky and sea

Mr Zhang did say that Australian police were more understanding and willing to listen than those in China

A flotilla of 18 boats took to the Brisbane River on Thursday in preparation for the huge event this weekend

The exclusion zone encompasses Brisbane Airport, the Brisbane Convention and Exhibition Centre, and many of the hotels where leaders will be staying

In Hong Kong people have been protesting for months now blocking main thoroughfares in the city

Brisbane went into lockdown on Thursday as thousands of uniformed police patrolled the area.

Some officers manned steel fences, which protect the hotels of visiting leaders such as President Obama and Russian President Putin.

Some took to the Brisbane River to show off a police flotilla of 18 boats. Others still monitored the city from helicopters buzzing in the sky.

The protesters told Daily Mail Australia they had a simple intention. They wanted the Chinese president to 'see our protest', which they thought would last longer than it did.

Xi Jinping, the Chinese leader, is expected to touch down in Brisbane tomorrow.

Mr Zhang said Australian police were more understanding and willing to listen than those in China.

Some officers are stations at different points across the city, with many in front of visiting leaders' hotels

Much of Brisbane's CBD is inside the exclusion zone for the upcoming summit

Queensland Police refused to comment on the activists' remarks about democracy

In a statement to Daily Mail Australia, a spokesman for the Queensland Police Service said it understands the right for people to protest lawfully and peacefully.

'However behaviour that threatens the safety and security of the communities in Brisbane will not be tolerated, nor actions that pose a risk to the safety and dignity of those attending the Leader's Summit.'

The spokesman said all G20 protesters need to be aware of and adhere to 'specific requirements' and that liaison officers are available to help people organising protests.

Twenty-seven protest groups have formally registered with police.

As for Mr Zhang, he said that if he had a conversation with the Queensland Premier Campbell Newman or his ministers: 'I would say I am very angry about that and say he's helping China's government.

'He just want to make Chinese government happy (sic).

In an interview with the ABC on Thursday evening, Mr Newman said the government just wanted people to protest peacefully.

'All we're after is for people to be peaceful... But protest their hearts out, shout their lungs out in terms of what they want to say.

'But we do have to run a safe, secure G20.'