布政司署
香港下亞厘畢道
Page
本署檔號 OUR REF:
(16) in ESB CR 13/2586/83 (88) II
來函檔號 YOUR REF :
GOVERNMENT SECRETARIAT
LOWER ALBERT ROAD
HONG KONG
5-8102685
Mr Wright
Ermonic Advises
Mr. Christopher Hum,
Grathul for any comments.
Hong Kong Department,
Foreign and Commonwealth Office.
London, SW1A 2AH,
2 December 1988.
Natman
9/12 Mr For Wal
Formen
U.K.
Dear Mr. Hum,
W9/12
I attach for your information a copy of
the report on capital investment in Hong Kong for the third quarter of 1988.
Yours faithfully,
Kiniland
( K.Y. Tang )
for Secretary for Economic Services
Encl.
سالتی کمار
17/1
64/89
Arn
1912
HKC090/1
.{
CONFIDENTIAL #
Report on Capital Investment in Hong Kong
- Third Quarter of 1988 -
Summary
Investment in plant and machinery
grew significantly in the first three
quarters of 1988, albeit less rapidly than in the preceding year. As an indication, retained imports of capital goods grew by 14%
in real terms over the same period last year;
the corresponding growth rate for 1987 as a
whole was 26%. In the third quarter of 1988,
retained imports of industrial machinery for
manufacturing use grew by 18% in real terms
over a year earlier. The growth rate of
retained imports of other capital goods
remained significant in both the second and third quarters. The generally satisfactory
business conditions and the tight labour
market, which have prompted businessmen to
adopt more labour-saving devices, have helped
to maintain investment at a high level.
2.
As regards investment in property, planned developments, in terms of the usable
floor area of projects for which consent to
commence work was given, recorded an increase
of only 2% in the first three quarters over the same period last year, compared with
increases of 31% in 1986 and 11% in 1987.
Meanwhile, substantial increases in building
G.F. 326
CONFIDENTIAL #
J
CONFIDENTIAL #32
2
completions, particularly for commercial and
industrial property, were recorded in the
third quarter compared with the same quarter
last year.
3.
The property market remained active
in the third quarter of 1988. The demand for residential property was strong, although prospective buyers of small to medium sized residential flats have apparently become more cautious. The increased demand for shop space was supported by a high level of retail
sales to both local residents and tourists.
The demand for office space also rose,
reflecting the flourishing entrepôt trade and
the increasing importance of Hong Kong as а major commercial and financial centre in the
region. However, the demand for industrial
property, particularly in the more remote
areas, showed signs of consolidation. Prices
and rentals particularly for residential and
commercial property recorded significant increases over the course of the year.
G.F. 326
CONFIDENTIAL # 3