64
PUBLIC FINANCES
reserve against future deficits on current account. There was, in addition, a Development Loan Fund of $314 million, used to finance social and economic development projects (see Appendix II) of a self-liquidating nature. The greater part has been used for low-cost housing schemes. At 31st March 1963 outstanding com- mitments from funds allocated exceeded liquid assets of $27 million by $171 million. According to normal Government practice the statement of assets and liabilities excludes the public debt of the Colony from the liabilities. The debt at 31st March 1963 was equivalent to approximately $25 per head of population. Indebted- ness decreased by $3.8 million during the year owing mainly to the repayment of $3.2 million of the United Kingdom's interest- free loan of £3 million for the development of Kai Tak airport. This loan is repayable in 15 annual instalments; the first repay- ment was made on 1st October 1961. The Rehabilitation Loan, which was raised in 1947-8 to cover part of the cost of post-war reconstruction, is repayable in 1973-8; there is provision for a sinking fund which stood at $21 million on 31st March 1963. Details of public debt, Colonial Development and Welfare schemes and grants are also given in Appendix II.
EXCISE DUTIES
There is no general import tariff and only five groups of com- modities, namely alcoholic liquors, tobacco, hydrocarbon oils, table waters and methyl alcohol, whether imported or manufactured locally, are subject to excise duty. All firms engaged in the import, export, or sale of dutiable commodities must be licensed. Duty is collected by the Director of Commerce and Industry and is pay- able, in the case of goods imported into the Colony, before their release from a shipping agent's bonded warehouse or, if they are manufactured in the Colony, upon their release from the factory's bonded store.
Samples, bona fide gifts and donations to charitable organiza- tions for free distribution within the Colony, are normally exempted from duty. Drawback is allowed upon the dutiable elements of manufactured goods exported from the Colony.
The rates of duty are, in general, low. A preferential rate of duty for liquor of Commonwealth origin is at present levied at