Manager's Certificate examination of the R.I.C.S. to be held in Hong Kong in 1961. Two expatriate Housing Managers assist the Chief Housing Manager in the practical training of staff on the estates, which is an essential part of a recognized qualification, and to establish management work on the right lines.
29. Owing to delays in filling the appointments of expatriate Hous- ing Managers, the burden of day-to-day problems left management staff little time to give or receive basic instruction, except in so far as it had an immediate practical application. However, now that a basic organization has been set up, and administration of estates is properly established, it is hoped to pay more attention in future to the details which form such an important part of any organization dealing with human problems.
FINANCES
30. The Authority's projects are financed by means of loans from Government, to be amortized over forty years, made available from the Colony's Development Fund. The Authority is also at liberty, if it so wishes, and subject to Government approval, to borrow money from other sources, although the necessity has not yet arisen. Government has, in fact, indicated that it will be able to meet the capital needs of the Authority for the foreseeable future.
31. Loans are made by Government to finance each project as it is approved in principle. Thus, loans of $33 millions and $7.5 millions were made to finance the North Point and Sai Wan Estate schemes respectively, in addition to a loan of $1 million to meet the Authority's administrative expenses until rental income accrued. These three loans were all made with interest payable at the rate of 31% per annum. Interest is calculated on maximum indebtedness during each month, and compounded half yearly in March and September.
32. In October 1955, however, when a loan of $50 millions to finance the So Uk scheme was authorized, Government notified the Authority that for this, and all future schemes, interest would be payable at the rate of 5% per annum.
33. During 1958, however, the Authority's general financial arrange- ments were reviewed with Government, and as a result it was agreed that all outstanding loans should be consolidated into one block loan of $91.5 millions, interest on the first $45 millions of which would be at the rate of 31% per annum, and on any funds over that amount at 5% per annum. This gives a much greater degree of flexibility to the
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