888-387
dti
Net UK Direct Investment in HK
1984
1985
1986
1987
1
£ 42m
£ 90m
£178m
£ 280m
For
17 As most British companies operating in Hong Kong choose to incorporate there, this has meant that much of their investment and that of their subsidiaries has not appeared as British. example, almost all the investment of the Swire Group in Hong Kong is made through Swire Pacific and does not show up as a British investment. In 1988 there had been significant activity including acquisitions by the Beezer Group and by Polly Peck International;
Further evidence of P & O were also looking for new opportunities. British activity has been the opening of about 12 retail stores in
the last 2 years. Reinvestment by existing British companies in Hong Kong has been considerable.
18 If Britain's 'invisible' earnings in Hong Kong are added to the value of British merchandise exports to Hong Kong (£1,111m in 1989) and compared with the value of Hong Kong exports to Britain (£2,037m in 1989) and the much smaller 'invisible' earnings by Hong Kong in Britain (eg earnings on direct investment in 1987 were £15m), it is probable that the amount of business between Hong Kong and Britain is roughly in balance and worth in excess of £4,000 m
a year.
Hong Kong's Economy
19 Hong Kong's economy is dependent on international trade, and in particular, its ability to sell in the United States (its major
HK's industries are mostly of a light export market).
manufacturing nature producing consumer goods: clothing, watches