I
N
I
TUESDAY, AUGUST 25, 1987
THE UNDEREMPLOYMENT RATE REMAINED STABLE AT A LOW WAS 1.1 PER CENT IN THE SECOND QUARTER OF 1987, COMPARED CENT IN THE PREVIOUS QUARTER AND 1.9 PER CENT IN OF 1986.
LEVEL. WITH 1
IT
PER
THE SECOND QUARTER
HALF OF 1987, HONG KONG'S BY
NOTWITHSTANDING SOME INCREASE DURING THE FIRST 'HE RATE OF INFLATION WAS STILL FAIRLY LOW COMPARED WITH EXPERIENCE OVER THE PAST DECADE. THE CONSUMER PRICE INDEX (A) ROSE
OF 1987 OVER A YEAR 5.4 PER CENT IN THE SECOND QUARTER
EARLIER, CENT AND 4.3 PER CENT FOLLOWING YEAR-ON-YEAR INCREASES OF 3.6 PER
FIRST QUARTER OF RESPECTIVELY IN THE FOURTH QUARTER OF 1988 AND THE 1987. THE CPI (B) AND THE HANG SENG CPI ROSE BY 5.1 PER CENT AND
QUARTER OF THIS YEAR PER CENT RESPECTIVELY IN THE SECOND WITH THE SAME QUARTER LAST YEAR.
6.3 COMPARED
OF THE
QUARTER
AN
OVERALL
EXTERNAL
THE HALF-YEARLY ECONOMIC REPORT UPDATES THE ASSESSMENT ECONOMIC LOCAL
SITUATION WHICH WAS GIVEN IN THE FIRST ECONOMIC REPORT 1987 PUBLISHED IN MAY. APART FROM GIVING
CHAPTERS ON THE VIEW, THE REPORT ALSO CONTAINS INDIVIDUAL SECTOR, THE FINANCIAL SECTOR, THE LABOUR SECTOR, ACTIVITY IN SECTORS, AND PRICES.
SELECTED
USEFUL COMMENTS AND ECONOMIC REVIEW COMMITTEE, WHICH IS
AND INCLUDES IN ITS
IN THE PROCESS OF PREPARING THIS REPORT, ADVICE WERE RECEIVED FROM THE CHAIRED BY THE FINANCIAL SECRETARY EIGHT MEMBERS OF THE LEGISLATIVE COUNCIL.
MEMBERSHIP
ON THE EXTERNAL SECTOR, THE REPORT NOTES THAT DOMESTIC TO MOST MAJOR MARKETS GREW RAPIDLY IN THE FIRST HALF OF 1987.
EXPORTS
EXPORTS THE 26
THE YEAR-ON-YEAR GROWTH RATE IN REAL TERMS OF DOMESTIC TO CHINA WAS ABOUT 65 PER CENT, WHILE THAT OF DOMESTIC EXPORTS TO FEDERAL REPUBLIC OF GERMANY WAS 34 PER CENT, TO THE UNITED KINGDOM PER CENT, AND TO JAPAN 58 PER CENT.
UNITED DOMESTIC EXPORTS TO THE MODERATELY, AT ABOUT 13 PER CENT IN SHARE IN HONG KONG'S DOMESTIC DECLINED FROM 42 PER CENT IN 1986 TO 38 PER CENT IN THE FIRST HALF OF 1987.
STATES GREW RELATIVELY MORE REAL TERMS. AS A RESULT, THE
TO EXPORTS GOING
THE UNITED STATES
COUPLED WITH SUSTAINED DEMAND FOR IMPORTS IN OVERSEAS MARKETS,
OF TILE DEPRECIATION THE STIMULATION CAUSED BY THE CUMULATIVE
HONG US DOLLAR UNDER THE LINKED KONG DOLLAR (IN LINE WITH THAT OF THE
RATE EXCHANGE
SYSTEM) AGAINST MOST OTHER MAJOR CURRENCIES, CONTRIBUTED TO THIS STRONG DOMESTIC EXPORT GROWTH.
ALSO REFLECTED,
IN
PROCESSING ACTIVITIES
THE RAPID GROWTH IN DOMESTIC EXPORTS TO CHINA IN PART, A SUBSTANTIAL INCREASE IN OUTWARD CHINA COMMISSIONED BY HONG KONG MANUFACTURERS.
/TRADE WITH