3.1
PART III
The reason for the rows over the airport projects is mainly because of the different
the different point of views on the Airport- related financing plans. The Hong Kong Association for
Democracy and People's Livelihood has its own proposal these plans.
Apportionment of Expenses by sources of Funds.
Non-recurrent expenditure
Equity injection
Borrowing
Private participation
Total
Amount in $billion
60
40
35
25
160
projects.
Distribution of expenditure on non-Government funded ACP
(Amount in Billion)
Airport Railway
Chek Lap
Kok
Western Harbour
Total
(AR)
Airport
(CLK)
Crossing (WHC)
on
32
40
Equity injection
| Borrowing
25
10
35
Private Participat
18
7
25
ion
100
3.2
ADPL thinks that the Hong Kong government should solve the financial problems by using the principle of "increasing equity injection and decreasing borrowing'. Nevertheless, the government still needs to look for a balancing point under this principle to avoid affecting people's livelihood and public expenditures adversely.
Land Fund--As way out for the CLK project
Borrowings from the Land
Land Fund at 8% interest
interest rate for investment into infrastructure development will help reduce the amount of interest payments that would have been payable to overseas financial institutions. ADPL thinks that the British and Chinese governments should consider this suggestion positively.