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SOME FEATURES OF HONG KONG'S PUBLIC FINANCES
Paner 2 (P. 1 of ")
Major areas of expenditure
For
expenditure planning purposes, resources are
which individual
They are now free
allocated to programme areas for
Policy Secretaries are responsible. to redeploy resources within their programme areas to meet specific purposes, objectives and targets of achievement (e.g. cutting back existing services and
redeploying the savings towards meeting the cost of
new initiatives) and between programme areas (e.g. between social welfare and public health).
'
The pattern of expenditure between the various
programme areas differs, as each has its own characteristics and financial requirements. These
will be affected by changes in the level of demand for
different services, the phasing in of capital
expenditure, the need to meet the recurrent consequences of capital projects coming on stream, and the introduction of new or improved services.
For expenditure control purposes, the financial resources allocated to a Policy Secretary's programme
areas are converted into money of the day terms and
included in individual Heads of Expenditure, for each
of which there is always a Controlling officer. The Controlling officer is usually a Head of a Government
Department. Under the Public Finance Ordinance, he is accountable through his Policy Secretary for the delivery of services required to meet the objectives
and targets in one or more programme areas.