CONSTITUTION AND ADMINISTRATION

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Role of Financial Secretary

The Financial Secretary, who reports directly to the Governor, is responsible for the fiscal and economic policies of the Hong Kong Government. He is an ex-officio member of both the Executive and Legislative Councils. He is, in addition, a member of the Finance Committee of the Legislative Council and chairman of the Public Works Sub-Committee of the Finance Committee. As the government official with primary responsibility for Hong Kong's fiscal and economic policies, the Financial Secretary oversees the operations of the Finance, Monetary Affairs, Trade and Industry, Economic Services and Works Branches of the Government Secretariat and the new Hong Kong Monetary Authority.

The Financial Secretary is responsible under the Public Finance Ordinance for laying before the legislature each year the government's Estimates of Revenue and Expenditure. In his capacity as an ex-officio member of the Legislative Council, he delivers a major speech each year, outlining the government's budgetary proposals and moving the adop- tion of the Appropriation Bill, which gives legal effect to the annual expenditure proposals contained in the Budget. He is also responsible under a number of ordinances for carrying out executive duties, such as setting levels of certain charges and remunerations, and overseeing the accounts of certain trust funds and statutory bodies.

Role of the Central Policy Unit

Although the CPU forms part of the Government Secretariat, it is not a policy branch and does not have responsibility for a defined programme area of its own. Its role is to undertake in-depth examinations of complex policy issues, to analyse options, and to recommend solutions. These issues are assigned to it by the Governor, Chief Secretary and Financial Secretary and are specified on a case-by-case basis. They are mostly issues of a long-term, strategic nature, or issues which cut across, or fall between, the boundaries of several policy branches or government departments.

Role of the Efficiency Unit

The Efficiency Unit (EU) was established in May 1992. The unit takes direction from the Public Sector Reform Policy Group and is a part of the Government Secretariat. Its role is to secure improvements in the formulation of policy objectives and priorities, management and motivation of staff; control over the use of resources; and the delivery of services to customers. The key principles on which these improvements are to be brought about are openness, responsibility and accountability. In other words the role of the unit is to put into practice the Public Sector Reform philosophy.

The Structure of the Administration

The Administration of the Hong Kong Government is organised into branches and departments. The branches, each headed by a secretary, collectively form the Government Secretariat. There are currently 12 policy branches, and two resource branches concerned with finance and the Public Service.

The policy branches whose secretaries report directly to the Chief Secretary are: City and New Territories Administration (headed by the Secretary for Home Affairs); Constitu- tional Affairs; Education and Manpower; Health and Welfare; Planning, Environment and Lands; Recreation and Culture; Security, and Transport. The Civil Service Branch, a resource branch, also comes under the aegis of the Chief Secretary. The policy branches

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