INDUSTRY AND TRADE
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goods sold on medium or long-term credit with instalments over five years or longer. It provides its clients with a credit control service, and through an international credit information network checks the credit rating of all overseas buyers of its policy-holders. the most Trading and financial records are kept of some 40 000 overseas buyers comprehensive confidential reference library of its type in Hong Kong.
Bankers who finance exports from Hong Kong also benefit from the corporation's services. Their exporting clients who hold an ECIC policy can authorise the corporation to pay any claims to their financing bank. In addition, to assist in the funding of manu- facturers who export capital or semi-capital goods on medium to long-term credit, the corporation is prepared to provide the financing bank with gilt-edged security in the form of its unconditional guarantee. This involves the full payment by the ECIC of any overdue instalments and interest, irrespective of the cause of delay.
As a member of the International Union of Credit and Investment Insurers (the Berne Union) the corporation has access to up-to-date and confidential assessments of the international economic scene, and the technology used by other nations in support of their export industries.
The corporation's paid up capital of $20 million was provided by the government, which also guarantees the corporation's liabilities created by its insurance and guarantees operations. The statutory limit of this guarantee was raised from $2,500 million to $3,000 million in May 1982. The corporation does not receive any subvention and operates on a break-even basis taking one year's results with another. In its daily business activities, the corporation resembles private enterprise and markets its services in a commercial manner.
The ECIC benefits from the guidance and advice provided by the 12 members of its advisory board. As a member in its own right of the leading trade and industrial associations in Hong Kong, the corporation remained in close contact during the year with the tough realities of the international marketplace.
During 1982, more than $4 billion-worth of goods and services were insured by the ECIC, which earned a premium income of close to $21 million. Some 149 claims were paid, involving a total of nearly $24 million, and the ECIC suffered an underwriting loss.
Highlights of the year included hosting the winter meeting of the Berne Union during February, when 110 delegates from 29 countries gathered in Hong Kong. The ECIC's computer systems were further developed during the year, and simpler and more efficient means of providing policyholders with protection were established.
Hong Kong Productivity Council and Centre
The Hong Kong Productivity Council, a statutory organisation established in 1967, is responsible for promoting the increased productivity of industry in Hong Kong. The council comprises a chairman and 20 members, all appointed by the Governor, representing management, labour, academic and professional interests as well as government departments closely associated with productivity matters. It is financed by an annual government subvention and by fees earned from its services.
The executive arm of the council is the Hong Kong Productivity Centre which provides consultancy and technical services ranging from electronic data processing, feasibility studies and production management, to techno-economic studies and technology transfer. It also conducts a wide range of training programmes in industrial technology, management techniques and electronic data processing. In addition, it organises industrial exhibitions and overseas study missions, and operates a technical information service.