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Translation

DRAFT SPEECH BY HON WONG LAM, OBE, JP LEGISLATIVE COUNCIL 27.3.85

Budget Debate 1985

Sir,

In the past few years, Hong Kong was harassed by the uncertainties about its future; the economic recession and the continuing financial deficits. Following the signing of the Sino-British Agreement, the clouds over the political future of Hong Kong have cleared up, and from the 1985-86 Budget as tabled by the Financial Secretary, it appears that our economy is steadily improving and we can expect a balanced budget in the following year. Therefore, this first budget after the signing the of sino-British Agreement can be considered a good

start indeed.

As regards the 1985-86 Budget, I would like to address

myself on three aspects:

(1) The increase in size of the Civil Service

Though there are improvements in our economy, the

Financial Secretary has continued to spare no effort in

controlling public sector expenditure and, especially, the

increase in size of the Civil Service. This is absolutely

reasonable and necessary. At present, when we are faced with a

deficit situation, when additional taxes have to be levied and

funds have to be drawn from the fiscal reserves, frugality is

not only a virtue but also a responsibility of the Government. In fact, irrespective of whether there is a deficit or surplus

of revenue, frugality should always be encouraged. The

establishment and size of the Civil Service had expanded rapidly from the late 70's to the early 80's. Some people including myself had already expressed their worries. It is

not until recent years that the Government is seen to be

dealing with this problem seriously. It is a bit late, but it

is still better late than never.

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