20-MAR-1989 17:29

GOVERNMENT SECRATARIAT

852 5 840 1523

Closing Remarks

Economic and social 2007

in conditions in Hong Kong

1997 and

1

about precise

far So

lines: increasing

as

China,

increasing

Difficult to be

social

conditions

ahead. But generally expect development of Hong Kong to continue along present

growth and standard evolution

service centre for increasing interdependence of South

economic

and

of

living,

China economies

and of

region,

HK and

manufacturing

sophistication sector, increasing provision

of

of

2

education, medical, welfare facilities, improvements in economic and transport infrastructure.

in

paper

on economic

airport, new

road links

and expansion

social

and

of tunnels,

Examples given development: probable container port, new environmental improvements, more and better housing provision, hospital beds up from 4.5 to 6 per 1,000 population, first degree places up from 6.5% to 14%, total tertiary places up from 10.5% to 20%.

Development of HK/China economic relationship

1

2

in

-

plus banking, 2 million workers in

Bilateral trade increased over 26 times 1978-88. Now each other's largest trading

HK partner.

largest investor in China (60% of all). China third largest investor

sector HK manufacturing real estate etc. At least 1.5 Guangdong employed by Hong Kong enterprises. Hong

now 56% of all exports: Kong's re-exports now linked to China. Important entrepot for trade between China and Taiwan and South Korea.

not

over

80%

to

continue No reason why relationship should grow. Important that Hong

infrastructural Kong's planning should take account of needs of China as well as domestic economy - e.g. providing road, port and airport facilities for goods exported through Hong Kong.

Hong Kong's international position in 1997

1

One of tasks of JLG is to consider action necessary to ensure maintenance of Hong Kong's participation in international organisations. Specialist sub-group set up. Already reached agreement on many, e.g.:

a)

GATT

as continue

separate

Hong Kong to contracting party after 1997;

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