FRIDAY, NOVEMBER 4, 1977
FS OUTLINES GOVERNMENT'S ATTITUDE TOWARDS FINANCIAL SERVICES SECTOR
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GOVERNMENT'S ATTITUDE TOWARDS THE FINANCIAL SERVICES SECTOR SHOULD BE DETERMINED BY THREE CONSIDERATIONS: THE NEED TO ENSURE THAT THE SECTOR ASSISTS THE GROWTH OF THE ECONOMY AND DOES NOT HINDER IT THE NEED TO PROVIDE THE USERS OF FINANCIAL SERVICES WITH SOME PROTECTION AND THE OBVIOUS NEED TO PROTECT HONG KONG'S REPUTATION AS A FINANCIAL CENTRE.
THIS WAS SAID TODAY (FRIDAY) EY FINANCIAL SECRETARY, MR. PHILIP HADDON-CAVE, IN A SPEECH ENTITLED +GOVERNMENT AND THE FINANCIAL SERVICES SECTOR+ TO THE HONG KONG SOCIETY OF ACCOUNTANTS AT THE FURAMA HOTEL.
MR, HADDON-CAVE SAID THE FIRST CONSIDERATION WAS THE NEED TO ENSURE THAT THE FINANCIAL SERVICES SECTOR ASSISTS THE GROWTH OF THE ECONOMY AND DOES NOT HINDER IT AS HAPPENED DURING THE BANKING CRISIS IN 1965 AND THE PROPERTY AND SHARE BOOM IN 1972.
HE SAID +TO HELP TO AVOID THIS SORT OF THING HAPPENING AGAIN, WE MUST SET UP MACHINERY ADEQUATELY TO MONITOR WHAT IS HAPPENING AND TO ENABLE US TO INTERVENE WITH AUTHORITY TO THE EXTENT INTERVENTION CAN BE JUSTIFIED. WE HAVE ALREADY COME A LONG WAY: THE BANKING INDUSTRY IN HONG KONG HAS PERFORMED BETTER THAN IN MANY OTHER COUNTRIES IN THE LAST 10 YEARS AND THE SECURITIES INDUSTRY NOW LOOKS MUCH MORE SOUNDLY BASED THAN IT WAS, SAY, FIVE YEARS AGO.+
BUT THERE WAS MORE TO BE DONE, MR. HADDON-CAVE SAID. WE HAD BEEN CRITICISED - AND FAIRLY HE BELIEVED
AND FAIRLY HE BELIEVED FOR THE LACK OF INFORMATION AVAILABLE ABOUT THE FINANCIAL SERVICES SECTOR OF THE ECONOMY AND WE WERE THEREFORE IN THE PROCESS OF DOING WHAT WE COULD TO IMPROVE OUR FINANCIAL STATISTICS.
+I HOPE WE CAN COUNT ON THE CO-OPERATION OF THOSE CONCERNED FOR IT IS JUST AS IMPORTANT FOR THE PROVIDERS OF FINANCIAL SERVICES TO BE WELL INFORMED AS THE GOVERNMENT ITSELF, HE SAID.
THE SECOND CONSIDERATION, THE FINANCIAL SECRETARY SAID, MAS THE NEED TO PROVIDE USERS OF FINANCIAL SERVICES WITH SOME PROTECTION.
+WE HAVE DEVELOPED CONSUMER PROTECTION LESS IN HONG KONG THAN IN MANY OTHER COUNTRIES,+ HE SAID.
+WE HAVE RELIED PRIMARILY ON THE OLD MAXIM. LET THE BUYER SEE TO IT, AND I FIRMLY BELIEVE WE SHOULD CONTINUE TO RELY ON IT IN THE MAIN,
+NEVERTHELESS, THERE ARE CIRCUMSTANCES IN WHICH CONSUMERS, MATTER HOW INTELLIGENT, CAN BE
CAN BE AFFECTED BY FORCES BEYOND THEIR CONTROL. SMALL BAK DEPOSITORS ARE AN EXAMPLE.+
NO
ON THE THIRD