G.F. 326
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11.
The small growth in this category of
investment in 1986 was largely attributable to
declines in the retained imports of office machinery
(reflecting some consolidation from its high levels
in 1984 and in the first half of 1985) and of
electronic components and parts for computers
(probably associated with the worldwide sluggishness
in sales by the electronic equipment industry)
(Table 4).
Investment in property
12.
(a) General situation
Improved economic conditions and
successive reductions in the mortgage rate have
helped to revive interest in property investment in
general. In respect of industrial property, demand
was boosted by the buoyant domestic export performance. The demand for office space remained
strong, due in part to the expansion of external
trade, including re-exports and transhipment.
Another contributory factor was expansion by firms
in the services sectors, as well as foreign
companies stepping up their activities in Hong Kong
in connection with doing business in China.
demand for shop space showed some improvement as a result of a sustained growth in private consumption
expenditure during the course of 1986. The demand
for residential property remained generally firm,
with keen demand for medium-sized flats.
The
13.
Caution should be exercised in
interpreting figures on investment in property because of the time taken to complete projects.
Capital expenditure is measured at the time the work
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