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HONG KONG LEGISLATIVE COUNCIL.

What should be regarded as the outstanding events of the past year? First I think the decision of the Government to leave our currency system alone and allow it to find its natural level, guided by the laws

the laws of supply

of supply and demand. Secondly the publication of the Retrenchment Committee's Report representing nine months exhaustive work by three of our prominent citizens. Some of their findings may not be practical or desirable but it has had the result of bringing under close scrutiny the whole of our Government undertaking and has already resulted in many far reaching economies and 'reforms. The thanks of the Colony are due to these gentlemen and Mr. Breen and I am inclined to think the public have not sufficiently realised or appreciated their monumental work, possibly due to the fact, that its publication came so late in the day. Thirdly the Report of the Honourable Director of Medical and Sanitary Services on Public Health in Hong Kong. This Report we know is receiving the careful consideration of the Government and other public bodies interested, and it is to be hoped that before long a concrete and far reaching scheme will be placed before us, retaining I hope, the entity of our present Sanitary Board, but with wider functions.

I should now like to dwell for a few minutes on our air communications which I am inclined to put in the front rank for consideration. For too many years have we been inclined to rest on the fortunate advantages of our Harbour. Times are changing, and changing fast, and if we wish to continue to hold that premier position in the Far East which we have hitherto done we must be sure that we are not being passed by while we sleep. Now, are the present facilities at Kai Tack adequate, possibly for the moment yes, but what will the position be in five years time? Let us for a few moments study recent developments. Commercial aviation has great possibilities in the Far East, and unless we take time by the forelock and provide facilities for what we know is coming, we shall be left far behind.

The provision of an Air Mail Service to the Far East is no new idea, already a service exists as far as French Indo-China, and we know that the French Authorities hope to start a service to Hong Kong shortly. What is being done in British interests? I am led to believe that a subsidy of $60,000 spread over three years has been offered but I am informed that this is quite inadequate. Are the Home Authorities moving in this matter and if so what are they doing? Perhaps one day we shall come to our senses and find that Hong Kong, this Colony of which we are so proud, has been left in the lurch, due to our own apathy and want of appreciation. What is the accommodation at Kai Tack? At the moment we have a Hangar 250 feet over all by 120 feet in breadth, it is divided in two, one-half occupied by the Air Ministry and the other half used for civil aviation. Civil aviation thus gets 125 feet by 120 feet which equals 15,000 square feet,

Malon

Staulan

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