WEDNESDAY, MAY 4, 1977
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GOVERNMENT TO RAISE ANOTHER LOAN FROM A.D.B. FOR HOUSING PROJECT IN SHA TIN
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THE LEGISLATIVE COUNCIL HAS APPROVED THE RAISING OF A US$20.5 MILLION LOAN FROM THE ASIAN DEVELOPMENT BANK TO FINANCE A SUBSTANTIAL PROPORTION OF THE FOREIGN EXCHANGE COST OF THE SHA TIN URBAN DEVELOPMENT (HOUSING) PROJECT.
THE PROJECT INVOLVES THE CONSTRUCTION OF TWO HOUSING ESTATES FOR SOME 61,000 PEOPLE AND ASSOCIATED FACILITIES FOUR PRIMARY AND FOUR SECONDARY SCHOOLS IN THE TWO ESTATES, A GENERAL HEALTH CLINIC, A DIVISIONAL FIRE STATION AND A COMMERCIAL COMPLEX FOR ONE OF THE HOUSING ESTATES.
AUTHORITY FOR RAISING THE LOAN WAS SOUGHT UNDER A MOTION TO AMEND THE FIRST AND SECOND SCHEDULES TO THE LOANS (ASIAN DEVELOPMENT BANK) ORDINANCE IN THE COUNCIL TODAY.
MOVING THE MOTION, THE FINANCIAL SECRETARY, THE HON. PHILIP HADDON-CAVE TOLD COUNCIL MEMBERS THAT HE REGARDED THE TERMS OF THE LOAN AS SATISFACTORY.
THE LOAN, TO BE MADE AVAILABLE IN VARIOUS CURRENCIES EQUIVALENT IN TOTAL TO US$20.5 MILLION, WOULD BE REPAYABLE OVER 10 YEARS FROM JULY 1, 1980 AT A RATE OF INTEREST OF 8.7 PER CENT PER ANNUM CHARGEABLE ON THE AMOUNT OF THE LOAN WITHDRAWN AND OUTSTANDING FROM TIME TO TIME.
THERE WOULD ALSO BE A COMMITMENT CHARGE OF 0.45 PER CENT, MR. HADDON-CAVE ADDED.
HE NOTED THAT THIS WOULD BE THE THIRD LOAN NEGOTIATED FROM THE ASIAN DEVELOPMENT BANK.
THE FIRST, FOR US$21.5 MILLION, WAS FOR THE CONSTRUCTION OF THE SEA WATER DESALTING WORKS AT LOK ON PAI. THE SECOND, FOR US$20 MILLION, WAS FOR THE CONSTRUCTION OF STAGE I OF THE SHA TIN SEWAGE TREATMENT PLANT.
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