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MR. SO THOUGHT THAT IN ADDITION TO GREATER SECURITY OF EMPLOYMENT, WORKERS SHOULD HAVE A PACKAGE OF EMPLOYMENT BENEFITS WHICH SERVE AS SOME SORT OF SOCIAL SECURITY. SOME OF THESE BENEFITS ARE PROVIDED UNDER LEGISLATIVE REQUIREMENT BY THE EMPLOYERS AS THE IR SOCIAL SECURITY COSTS.
IN DRAWING UP THIS PACKAGE, THE GOVERNMENT WOULD HAVE TO TAKE INTO ACCOUNT THE PARTICULAR CIRCUMSTANCES IN HONG KONG AND OTHER FACTORS, INCLUDING JUSTICE, PACE OF DEVELOPMENT, COST OF LIVING, INDUSTRIAL PRODUCTION, EMPLOYMENT SITUATION, PRICE STABILITY, BALANCE OF EXPENDITURE, OVERSEAS MARKET COMPETITION AND INDUSTRIAL HARMONY,
MR. SO POINTED OUT THAT HIS SUGGESTIONS ON THESE THREE SUBJECTS WOULD IN THE LONG TERM ENABLE THE GOVERNMENT TO PLAY A GREATER PART IN RELEASING THE ENERGIES, TALENT AND IDEALS OF ALL PEOPLE AND CONTRIBUTE TOWARDS BUILDING A BETTER HONG KONG,
MONEY SUPPLY STATISTICS FOR SEPTEMBER
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THE MONEY SUPPLY CONTINUED TO GROW IN SEPTEMBER, BUT A SMALL PART OF THE INCREASE IS DUE TO A RISE IN THE NUMBER OF LICENSED BANKS, WHICH HAVE GONE UP FROM 74 IN MAY TO 77 IN AUGUST AND TO 80 IN SEPTEMBER THIS YEAR.
IN SEPTEMBER, NOTES AND COIN AND DEMAND DEPOSITS AT LICENSED BANKS (M1) WAS 3.8 PER CENT HIGHER THAN IN AUGUST, AND 30 PER CENT HIGHER THAN IN SEPTEMBER 1977.
M2 IN SEPTEMBER (M1 PLUS TIME DEPOSITS AND SAVINGS DEPOSITS) WAS 2.6 PER CENT HIGHER THAN IN AUGUST, AND 30 PER CENT HIGHER THAN IN SEPTEMBER 1977.
IN THE LAST FOUR MONTHS M1 HAS BEEN GROWING RATHER FASTER THAN M2 - THIS MAY HAVE RESULTED FROM THE RELATIVELY LOW RATE OF INTEREST AVAILABLE ON DEPOSIT ACCOUNTS.
COMPARING THE AVERAGE FOR THE PERIOD JULY TO SEPTEMBER 1978, WITH THE SAME PERIOD OF 1977, TO SMOOTH OUT SEASONAL FLUCTUATIONS
IN THE FIGURES, M1 SHOWS AN INCREASE OF 27.4 PER CENT AND M2 AN INCREASE OF 28.7 PER CENT.
THE LARGEST CONTRIBUTION TO THE GROWTH OF THE MONEY SUPPLY IN SEPTEMBER CAME FROM LOANS AND ADVANCES IN HONG KONG, WHICH ACCOUNTED FOR $1,630 MILLION OF THE INCREASE OF $1,780 MILLION.
AN ANALYSIS OF BANK LENDING AT THE END OF SEPTEMBER 1978 SHOWS AN INCREASE OF 9 PER CENT IN BANK LENDING SINCE THE END OF JUNE 1978.
THERE WAS LITTLE CHANGE IN LOANS TO MANUFACTURING INDUSTRY: THE GREATER PART OF THE INCREASE WAS SEEN IN LOANS TO BUILDING AND CONSTRUCTION (+11.4 PER CENT), TO FINANCIAL CONCERNS INCLUDING BANKS (+17 PER CENT) AND TO PERSONAL AND PRIVATE INDIVIDUALS (+12.1 PER CENT).
THIS LARGELY CONTINUES THE TREND OF THE LAST 12 MONTHS, EXCEPT FOR A SLOW DOWN IN THE RATE OF GROWTH OF LOANS TO MANUFACTURING INDUSTRY WHICH MAY BE DUE TO SEASONAL FACTORS.