VI
ECONOMIC
HONG KONG ECONOMY
-
Economy performed well in 1991 (GDP growth of over 4%) and is forecast to grow at some 5% in 1992. Trade with China
continues to boom.
Inflation remains a problem (at over 10% per annum) and Hong Kong Government is taking measures to combat it.
RENEWAL OF MFN STATUS FOR CHINA
- We take a close interest in this important issue for Hong
Kong because two thirds of China's exports to US pass
through Hong Kong. Loss of MFN would cut Hong Kong's GDP growth cut by a third to a half. 44,000-60,00 jobs lost.
-
Glad that China and the US have resolved some of their
trade differences. A good bilateral relationship will be important in maintaining MFN status.
SISADR/9