5
Wednesday, March 1, 1972
In the previous year, 1967, the rate was fourteen to fifteen
per cent, despite the disturbances, because the process of recovery from the difficulties experienced in 1965 and 1966 by the banking and construction sectors was beginning to get under way.
"But by 1969 a surge movement was beginning to build up, the Gross Domestic Product increasing by 20 per cent in that year and by
rather more than 20 per cent in 1970.
"But there was an easing off in this remarkable movement in 1971 to around ten per cent and I do not think we can expect to do better than this in 1972 or in the early months of 1973."
The Financial Secretary said this prospect of a slower advanec over the next twelve to 18 months was entirely due to the outlook
for export earnings.
The external demand for Hong Kong's products was so strong in 1968 and 1969 that the Colony's earnings increased by 25 per sent in each of these years. They eased off a little to 17% per cent in
1970 and to 11 per cent in 1971.
He thought there might be a further easing in 1972 before a
resurgence of the rate of growth in 1973.
The Financial Secretary said that although the manufacturing
sector was dominant in Hong Kong's economy, contributing about 43 per cent to the Gross National Product, the economy's strong external liquidity
position meant two things:-
Firstly, there need be no brake for the time being on the present high level of activity of other sectors, such as building and civil engineering;
• Secondly, earnings of tourism and services should be well maintained.
Thus the ***