27
WEDNESDAY, MAY 24, 1989
OF
THE STRONG DEMAND FOR LABOUR, THE RATE GIVEN
UNEMPLOYMENT AND WAS EXCEPTIONALLY LOW. THE SEASONALLY ADJUSTED UNEMPLOYMENT RATE
RATE WERE THE UNDEREMPLOYMENT
1.3 PER CENT AND 0.8 PER CENT RESPECTIVELY IN THE FIRST QUARTER, WHILE IN THE FOURTH QUARTER OF LAST YEAR THEY WERE 1.3 PER CENT AND 0.7 PER CENT.
VACANCIES WERE WIDESPREAD,
AND LABOUR INCOMES REGISTERED OVER THE COURSE OF FURTHER INCREASES BOTH IN MONEY AND IN REAL TERMS. 1988, LABOUR RESOURCES CONTINUED TO MOVE FROM THE MANUFACTURING SECTOR TO THE SERVICE SECTORS.
AS REGARDS THE PROPERTY MARKET, THE DEMAND FOR MOST PROPERTY REMAINED STRONG AT THE BEGINNING OF THIS YEAR.
TYPES OF
HOWEVER, PARTLY AS A RESULT OF THE INCREASES IN INTEREST RATES,
RECENTLY. SEEMS TO HAVE OCCURRED MORE
PROSPECTIVE SOME MODERATION BUYERS OF RESIDENTIAL PROPERTY APPEAR TO HAVE BECOME MORE CAUTIOUS AND
RESPONSE TO IN SELECTIVE
FLAT MUCH INCREASED
PRICES AND HIGHER
MORTGAGE RATES.
CONTINUED
THE DEMAND FOR SHOPPING AND OFFICE SPACE STRONG, WHILE THE DEMAND FOR FACTORY SPACE IN REMOTE LOCATIONS TO STABILISE.
THE MEANWHILE,
DEMAND FOR STORAGE PREMISES
INCREASING.
TO BE TENDED
WAS
IN THE FINANCIAL SECTOR, THE FOLLOWING DEVELOPMENTS DURING FIRST QUARTER ARE NOTEWORTHY.
FIRST,
THE
THE
HONG KONG DOLLAR EXCHANGE OVERALL
MARKET EXCHANGE
THE RATE OF
STABLE
THE REMAINED
AGAINST THE US DOLLAR, WHILE VALUE OF THE HONG KONG DOLLAR SHOWED A MODERATE APPRECIATION, IN WITH THE FIRMING UP OF THE US DOLLAR.
LINE
SECONDLY, CONTINUING
THE
IN TREND WHICH BEGAN DESPITE
DOMESTIC THIS,
1988, LOCAL LOANS AND
INTEREST RATES ROSE FURTHER. ADVANCES CONTINUED TO INCREASE RAPIDLY.
THIRDLY, TRADING IN LOCAL STOCKS AND IN HANG SENG INDEX FUTURES
THE HOWEVER, UP.
MARKET FOR DEBT
PICKED RELATIVELY QUIET.
INSTRUMENTS
REMAINED
OF THE GOVERNMENT ECONOMIST INDICATED THAT IT WAS IN THE LIGHT THESE DEVELOPMENTS, THAT IT WAS DECIDED THAT THE FORECAST GROWTH RATES REMAIN SUBSTANTIALLY OF THE MAIN DOMESTIC DEMAND COMPONENTS SHOULD UNCHANGED FROM THOSE RELEASED AT THE TIME OF THE BUDGET SPEECH.
THE FORECAST CENT, AND BOTH IN REAL
HOWEVER, IT WAS CONSIDERED APPROPRIATE TO LOWER GROWTH RATE OF DOMESTIC EXPORTS FROM 7 PER CENT TO 6 PER THAT OF RE-EXPORTS FROM 22 PER CENT TO 18 PER CENT, TERMS.
CORRESPONDINGLY,
THE FORECAST GROWTH RATES RETAINED IMPORTS WERE ADJUSTED DOWNWARDS FROM 15.5 PER CENT TO 13 CENT, AND FROM 9.5 PER CENT TO 8.5 PER CENT.
OF
IMPORTS
AND
PER
/TAKEN TOGETHER,