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run prudent budget surpluses for a number of years,

sufficient to allow borrowing if major projects

require it. Public sector spending is reined in at

16-17% of Gross Domestic Product. And, proof of the

pudding, per capita GDP of US$9,600 in 1988 gives our

people a standard of living second in Asia only to

Japan.

Hong Kong has always been an international city,

both in outlook and in composition. Never more so

than today, Trade has made our businessmen major

players in the outside world. Foreign investment has

made us more cosmopolitan.

Our open economy, our location and our superb

communications have attracted foreign investors from

all over the world. We have now 136 overseas

incorporated banks in Hong Kong, ten of them run as

regional headquarters. 36,000 workers are employed in

factories wholly or partly owned by American

interests alone. And the influence of many nations is

felt in educational links and in the performers and

artists who daily grace our world class concert

halls, stages and exhibition centres. Our new

convention and exhibition centre plays host to the

world and is booked solid to 1992.

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