PS/GH
CONFIDENTIAL
File No... CPU...L/M...A/20/92C..
JLG COMMENTS ON THE BUDGET
Page..
JLG member, LUO Jiahuan, recently
discussed CPG
attitudes towards HKG's Budget and the background to LU
Ping's public criticism of its contents.
FEARS FOR THE SARG
2.
LUO stated that the CPG had been concerned by the
Budget because it believed:
(a) The UK (sic) was trying to end its rule of
Hong Kong on an economic high note;
(6)
(၁)
For this purpose, HKG has boosted expenditure
through rapid expansion of welfare spending
and infrastructural projects;
This
"politically-inspired"
growth in HKG
spending had necessitated tax increases;
(d) HKG's tactics would result in serious
over-heating
consequence,
of the economy;
and, in
CONFIDENTIAL