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on finding and retaining markets for the wide variety of
manufactured goods which it produces. It now ranks 18th amongst
non-Communist exporting countries. 1972 exports (including
re-exports) were worth £1,393 million.
The main exports are
clothing and textiles, and also light manufactured articles such
as footwear, radios and handbags. Imports in 1972 totalled
£1,563 million. The Colony depends heavily on invisible trade,
especially tourism, to redress the imbalance. The economy is
based entirely on private enterprise and free trade. There are
virtually no protective tariffs or quantitative import
restraints. There are no legal restraints on capital or
monetary movements. There is a free market in foreign currency.
Direct taxes are low; the standard rate for income tax and
profits tax is 15%. The budget is regularly balanced. The
gross domestic product for 1972 is provisionally put at
£1.6 billion, giving a GDP of £403.5 per head.
In recent years GDP has been growing at an average rate of 7% in real terms.
LABOUR AFFAIRS
7. From a base of 100 in March 1964 the nominal wage index in
Hong Kong had risen by March 1973 to 239 in nominal terms and
159 in real terms. Hong Kong wages are the highest in the
Far East outside Japan. There is full employment. Many workers
receive additional benefits such as free medical attention,
subsidised meals, good attendance bonuses and subsidised
transport to and from work. The total paid up membership of the
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/Trade Union