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THURSDAY, MARCH 19, 1987
TURNING TO ANOTHER ASPECT OF THE SECURITISATION PROCESS, MR CHAM SAID IN TERMS OF TURNOVER, THE SIZE OF THE LOCAL STOCK MARKET RANKED AMONG THE TOP ACTIVE MARKETS IN THE WORLD, YET CLEARING IN THE STOCK EXCHANGE WAS STILL CONDUCTED WITH THE 24-HOUR PHYSICAL DELIVERY SYSTEM.
HE FELT THIS NOT ONLY REPRESENTED A WASTE OF CLERICAL WORK AND MANPOWER, BUT IT COULD INHIBIT FURTHER GROWTH OF THE STOCK MARKET.
+ALTHOUGH IT CAN BE ARGUED THAT THE STOCK EXCHANGE MUST BE LEFT TO DO ITS JOB, GOVERNMENT MUST PROVIDE THE NEEDED AND NECESSARY LEGISLATION TO SUPPORT A SIMPLER AND MORE EFFICIENT MARKET MECHANISM CONDUCIVE TO FURTHER DEVELOPMENT OF THE MARKET,+ HE SAID.
COMMENTING ON THE BUDGET, MR CHAM SAID HE ENDORSED THE FINANCIAL SECRETARY'S VIEW THAT A LABOUR FORCE AT FULL EMPLOYMENT SHOULD BE MAINTAINED.
+ IN A PLACE LIKE HONG KONG WHICH IS LESS FAVOURABLY ENDOWED IN NATURAL RESOURCES, FISCAL AND MONETARY POLICIES MUST BE GEARZU TOWARDS THE CREATION OF WEALTH BY ECONOMIC ACTIVITIES BUT NOT A MERE EMPHASIS ON THE RE-DISTRIBUTION OF WEALTH, HE NOTED.
HE ADDED THAT ECONOMIC STRATEGIES FOR THE FUTURE SHOULD BE FOUNDED ON A FURTHER IMPROVEMENT IN PRODUCTIVITY AND THE INCREASE
IN GROSS DOMESTIC PRODUCT WITHOUT IMPOSING A STRAIN ON THE LABOUR FORCE.
IN THE SHORT RUN, FURTHER DEMAND FOR OUTPUT COULD BE MET LY MARGINAL INCREASES OF PRODUCTIVITY OR ADDITIONAL OUTPUT THROUGH PROVISIONS IN OVERTIME EMPLOYMENT, HE SAID,
+ IN THE MEDIUM TERM, WE MUST LOOK FOR IMPROVEMENTS IN OUTPUT EITHER BY IMPROVING PRODUCTIVITY IN ALL ECONOMIC SECTORS OR INDUCE THE DEVELOPMENT OF SECTORS WHICH COMMAND A HIGHER MARGINAL INCREASE IN VALUE-ADDED PER INCREASE IN INPUT, HE SUGGESTED.
WHILE EXPRESSING HIS GENERAL SATISFACTION WITH THE PACKAGE OF REVENUE AND TAX CONCESSIONS, MR CHAM ADVOCATED THAT MORE GENEROUS CHILD ALLOWANCES BE GRANTED TO SINGLE PARENTS, PARTICULARLY THE WIDOWED WITH CHILDREN TO BE RAISED,
HE ALSO SUPPORTED THE TRAVEL INDUSTRY'S CALL FOR A REDUCTION OF THE AIRPORT TAX, PROVIDED THAT THE REDUCED TAX PLUS OTHER INCOMES DERIVED FROM THE AIRPORT COULD COVER ITS OPERATIONAL COSTS.
AS A RESULT, THE AIRPORT TAX SHOULD BE IN LINE WITH THE IMAGE OF HONG KONG AS A SHOPPERS' PARADISE, HE SAID.
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