WEDNESDAY, FEBRUARY 25, 1987
7
+THIS IS HIGHER THAN BOTH THE 2 PER CENT ARISING IN 1986-87 AND THE MEDIUM TERM PLANNING ASSUMPTION OF AROUND 2.5 PER CENT BUT IS NECESSITATED BY THE TIMING OF FACILITIES COMING ON STREAM.+
WITHIN THE TOTAL EXPENDITURE FIGURE, A SUM
A SUM OF 31.6. BILLION HAD BEEN ALLOWED FOR ADDITIONAL COMMITMENTS AND CONTINGENCIES.
PROVISION WAS ALSO MADE FOR TRANSFERRING A TOTAL OF $6.6 BILLION TO VARIOUS FUNDS TO FINANCE CAPITAL EXPENDITURE
PUBLIC FINANCES NOW STRONG, SAYS JACOBS *****
HONG KONG'S PUBLIC FINANCES WERE NOW IN A STRONG POSITION AND WE COULD LOOK FORWARD WITH REASONABLE CONFIDENCE TO BROADLY BALANCED BUDGETS OVER THE NEXT FEW YEARS, THE FINANCIAL SECRETARY, THE HON PIERS JACOBS. SAID IN PRESENTING HIS FIRST BUDGET TO THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
MR JACOBS SAID HONG KONG WAS IN AN EXCELLENT TRADING POSITION AND ITS CURRENCY WAS STABLE, DESPITE DIFFICULTIES IN THE PAST WHICH HAD BEEN OVERCOME.
IN THIS CONNECTION, HE SAID HE OWED A CONSIDERABLE DEBT TO HIS PREDECESSOR, SIR JOHN BREMRIDGE.
HONG KONG WENT
+THE EARLY NINETEEN EIGHTIES WERE NOT EASY. THROUGH POLITICAL UNCERTAINTIES WITH ALL THE ECONOMIC CONSEQUENCES,+ MR JACOBS SAID.
+BY TAKING THE LONG TERM VIEW SIR JOHN WAS ABLE TO ACHIEVE THE ADJUSTMENTS REQUIRED, AVOIDING BOTH BRACONIAN REVENUE MEASURES AND ANY MAJOR DISRUPTION TO SERVICES. DUSINESS WENT ON, AND THAT 18 WHAT ANY FINANCIAL SECRETARY MUST SEEK TO ENSURE.+
HOWEVER, MR JACOBS NOTED THAT ALTHOUGH HONG KONG WAS NOW IN A MUCH SOUNDER POSITION, THE LESSONS WHICH HAD BEEN LEARNED REMAINED VALID.
HE CONTINUED: +HONG KONG IS AS VULNERABLE AS EVER TO EXTERNAL FORCES. IT IS INEVITABLE THAT WE WILL EXPERIENCE VOLATILITY IN BUR ECONOMIC PERFORMANCE.
/+WHILE THE