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five years.
can be drawn up in the Colonial Office of the Colony's
liabilities and its financial position over (say) the next
Such an appreciation would include the best
estimate that can be given of the Colony's liabilities for
war damage compensation and rehabilitation of Government
property and also for the expenditure on the local volunteer
forces referred to in savingram No.464 of 30th December 1946;
expenditure on passages of ex-internees referred to in
Sir Mark Young's despatch No. 172 of 12th November 1946;
expenditure on relief in Macao of refugees from Hong Kong; and
any other types of special expenditure which arose out of the
war and which in some cases is still continuing. It would be
convenient af attention could be drawn to any particular
case or cases where it is considered political difficulty is
likely to arise in charging the expenditure finally to
Hong Kong Government funds. I suggest that the appreciation
should also take into account the possibility of funds being
required for an international airport, the cost of which
might be taken as £4,000,000 for this purpose. I note from
paragraph 7 of Sir Mark Young's telegram No. 533 that it is
proposed to address me in more detail in regard to the
financial position generally and doubtless in doing so you
will take the above factors into account.
5. The appreciation should also allow or any increase in
revenue arising out of increasing trading activities and also
of additional taxation, such as for example Income Tax.
6.
There is one other point to which reference should be
made in the appreciation. In paragraph 2(iv) of the
Appendix to War Offiec letter 16/Abd/1693 (C.A.4) of
23rd February 1945, a copy of which was referred to in the
communication to the Commander-in-Chief, No.6258 of
/17th October 1945
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