yea

il

(in Cantonese)

Sir, the Financial Secretary estimated the 1988 GDP growth

be about

exchange.

2

Mr. CHUNG

3

cate would be!

4

p/ses

6

7

8

9.

NP 10

11

12

13

14

15

16

Twe

all

He

13 per cent in money terms and that our average income is

would be increased to $72,000 which is equivalent to $9200 US according to the 7.8 eurreney rate. [Mr. Jacobs is confident in the economic

prospect for the year to come, but he is not without worries.

describes 1988 to be a year of volatility and uncertainty. He said

that there would be slow economic growth, a greater trade deficit

the

would increase to and also inflation rate of 7 per cent, that is why it is forecasted

About that the growth rate in 1988 will only be 5 per cent.

We know that last year the GDP recorded a growth rate of 13.5 per cent in

real terms, which is a second two-digit growth rate following that

of 86 88, and during this period investment was buoyant and we have unprecedented boom for our commerce/industry and the properties and the stock markets, although we had a crisis in the stock market last October, it was not detrimental to our inherent strength. 17*

have full employment and most of our citizens are able to enjoy the

1.8 fruits of economic development. That is why the Government has 19 increased its revenue base vastly and it is estimated that we will

20 have accumulative surplus and consolidated reserve of up to $40.5

for This has provided us more financial support while

21

billion.

22

23

2 2 2 2 2 2 2 2 2 2 2

NP 24

гар

25

26

27

28

29

2nd

We

services and developments and laid down a sound foundation for

coping with the changes and demands during the transitional period. The Financial Secretary in his Budget proposed that there would be an venue of $55.6 billion and an expenditure of $50 billion. There are some minor tax increases,

but more tax allowances given and there would be $1.8 billion less

of revenue because of these tax allowances. But still we are

able to maintain a surplus budget with a revenue of $3.8 billion and the Budget also contains promises that existing services and construction programmes will not be affected, so I think that this is a Budget which is pragmatic and comforting.

I do have something

30

NP.

31

32

to say concerning the strategy.

33

NP 34

35

36

First of all, we need to attract more foreign investments and actively

then Tothing

Greate financial resources. If we have problems, we should try to

enact good legislation. I dont think the introduction of negative

Share This Page