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+THIS IS NOT SOMETHING ON WHICH ANY GOVERNMENT IN HONG KONG COULD POSSIBLY AFFORD TO TAKE RISKS.
+BECAUSE OF THESE APPARENT RESTRAINTS THE GOVERNMENT PROGRAMMES HAVE BEEN PLACED SO THAT ON CERTAIN ASSUMPTIONS AND BROADLY SPEAKING THEY CAN BE FINANCED FROM GROWTH.
+THERE IS UNDOUBTEDLY A RESERVE OF TAXABILITY THAT COULD BE SAFELY TAPPED IN CASE OF NEED, BUT BECAUSE OF THE CIRCUMSTANCES I HAVE MENTIONED IN PRACTICE IT IS SMALL IN COMPARISON TO THAT OF OTHER COUNTRIES.
+OF COURSE I CANNOT SAY WHETHER PRESENT RATES OF TAXATION CAN BE MAINTAINED INDEFINITELY. THIS DEPENDS ON SO MANY FACTORS - BUT THE IMPERATIVE OF MAINTAINING A COMPARATIVELY LOW-TAX FISCAL SYSTEM IS INESCAPABLE.+
SIR MURRAY SAID THAT THE GOVERNMENT WOULD PROCEED WITH ITS PROGRAMMES IN ALL FIELDS +METHODICALLY AND PRUDENTLY AND WITHIN THE CAPABILITY OF THE ECONOMY.
+WHILE IT MUST TAKE ACCOUNT OF NORMAL INTERNATIONAL STANDARDS, HE CONTINUED, ITS PARAMOUNT CRITERION WILL ALWAYS BE WHAT PRACTICAL BENEFIT ANY MEASURE WILL
CONFER ON THE PEOPLE OF HONG KONG.
REFERRING TO ECONOMIC GROWTH, HE SAID: THE 16 PER CENT GROWTH RATE IN REAL TERMS CONFIDENTLY PREDICTED FOR THE YEAR THAT IS ENDING IS A REMARKABLE ACHIEVEMENT.
WHILE PREDICTING THAT HONG KONG'S GROWTH RATE WOULD PROBABLY BE BETTER THAN SIX PER CENT THIS YEAR, THE GOVERNOR SAID THAT THE PROSPECT OF GROWTH RATE FOR THE REST OF THE DECADE WOULD BE ABOUT SIX PER CENT A YEAR ALWAYS ASSUMING NO FURTHER EXTERNAL CATASTROPHY.
THE GOVERNOR STRESSED THAT THIS WAS NO TIME FOR FAINT-HEARTED FEARS. AFTER ALL HONG KONG HAD JUST EMERGED FROM THE DARKEST TIME IT HAD KNOWN FOR MANY YEARS.
+WE HAVE EVERY REASON TO DRAW CONFIDENCE FROM THE WAY HONG KONG CAME THROUGH THE RECESSION AND THE SPEED OF ITS RECOVERY, + HE EMPHASISED.
+ANGLO-CHINESE RELATIONS ARE EXCELLENT. WE HAVE THE SUPPORT OF THE BRITISH GOVERNMENT AND OUR RELATIONS WITH IT ARE FIRMLY BASED ON MUTUAL UNDERSTANDING.
+THE WORLD'S ECONOMY IS SLOWY IMPROVING. WE THEREFORE HAVE EVERY REASON TO HAVE CONFIDENCE IN OUR FUTURE PROSPECTS.
+THIS IS THE TIME NOT FOR QUESTIONING OUR MEANS OR OUR OBJECTIVES, BUT FOR DETERMINATION TO PURSUE THE COURSE WE HAVE SO CAREFULLY CHARTED TO MAKE HONG KONG THE PLACE IT CAN SO EASILY BE WITHIN A SHORT SPAN OF YEARS.
+CERTAINLY MY LAST YEARS HERE WILL BE DEVOTED TO THIS END, HE ADDED.
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