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Wednesday, February 28, 1973

SUBSTANTIAL YEARLY INCREASES IN EXPENDITURE

Trend To Be Maintained

The Government intends to maintain the trend of substantial annual

increases in total estimated expenditure since 1969-70, the Financial

Secretary, the Hon. C.P. Haddon-Cave, said today.

In his budget speech in the Legislative Council today, he said:

"We can still afford to do so without modifying our fiscal policies with

all the risks that that would entail for the maintenance of a high growth rate

of the economy. 忡

Mr. Haddon-Cave said the total estimated expenditure of $4,409

million for the new financial year amounted to an increase of 21 per cent

over the original estimate for 1972-73 or 14 per cent over the revised estimate.

Referring to the recurrent account, the Financial Secretary said

that recurrent expenditure provided for in 1973-74 was 71 per cent of

estimated revenue.

He was "hopeful that we are hitting our aim of keeping 30 per cent

of recurrent revenue available for capital expenditure."

Two elements had been removed from the Draft Estimates for 1973-74,

Mr. Haddon-Cave said.

The first was the provision for expenditure on Annually Recurrent

Other Charges for the Urban Services Department other than for its New

Territories Division.

He estimated

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