CONFIDENTIAL
FM HONG KONG
TO DESKBY 22100OZ FCO
TELNO 999
OF 22090OZ MARCH 90
CONFIDENTIAL
AKD 011/2
ако
RECEIVED
GISTRY
19 JUL 1990
112011
MDHIAN 2404
DESK OFFICER
INDEX
ROULTRY
PA
on faken
INFO PRIORITY BTC HONG KONG, UKREP JLG HONG KONG
YOUR TELNO 615: ANNUAL REPORT ON HONG KONG TO PARLIAMENT : STATISTICS ON PERFORMANCE OF THE ECONOMY
1. GRATEFUL IF YOU COULD NOTE THE FOLLOWING AMENDMENTS :
(A) PARA 35 : THE GDP GROWTH TO BECOME 2.5 PER CENT INSTEAD OF 3
PER CENT:
(B) PARA 36: THE FIRST SENTENCE TO READ QUOTE DOMESTIC EXPORTS
SHOWED VIRTUALLY NO GROWTH IN REAL TERMS IN 1989 COMPARED WITH 1988 UNQUOTE:
TO SUBSTITUTE QUOTE 19 PER CENT UNQUOTE FOR QUOTE ABOUT 20 PER CENT UNQUOTE IN THE THIRD SENTENCE:
TO DELETE QUOTE EXCEPT TO JAPAN UNQUOTE:
(C) PARA 38: TO SUBSTITUTE QUOTE 1.3 PER CENT AND 0.8 PER CENT UNQUOTE FOR QUOTE 1.4 PER CENT AND 0.6 PER CENT UNQUOTE IN THE
SECOND SENTENCE:
- TO SUBSTITUTE QUOTE 16 PER CENT AND 18 PER CENT UNQUOTE FOR QUOTE 17 AND 18 PER CENT UNQUOTE IN THE LAST SENTENCE. THE CORRESPONDING PERCENTAGES IN REAL TERMS SHOULD RESPECTIVELY BE 6 PER CENT AND 7 PER CENT:
(D) PARA 47: TO BE REPLACED BY THE FOLLOWING :
QUOTE IN 1988/89 CONSOLIDATED PUBLIC SECTOR EXPENDITURE BY THE HONG KONG GOVERNMENT, AT HKD 64.8 BILLION (POUND STERLING 5.2 BILLION), WAS CLOSE TO BUDGET AND REPRESENTED AN INCREASE OF 7.7 PER CENT OVER THE PREVIOUS YEAR. REVENUE AT HKD 72.6 BILLION (POUND STERLING 5.8 BILLION) WAS HIGHER THAN ESTIMATED. FOR 1989/90 EXPENDITURE IS EXPECTED TO EXCEED THE BUDGET, AT HKD 78.6 BILLION (POUND STERLING 6.3 BILLION), AS COST PARTICULARLY IN THE CONSTRUCTION INDUSTRY CONTINUE TO INCREASE. REVENUE IS EXPECTED TO BE HIGHER THAN FORECAST, AT HKD 88.6 BILLION (POUND STERLING 7.1 BILLION), PRINCIPALLY AS A RESULT OF HIGHER THAN ESTIMATED YIELDS FROM DIRECT
TAXES AND LAND SALES.
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