WEDNESDAY, NOVEMBER 25, 1992
10
PROPERTY MARKET SHOWS DOWNWARD TREND
THE TIGHTENING OF LENDINGS BY AUTHORISED INSTITUTIONS AND THE CONSTANT SUPPLY OF NEW FLATS HAVE ALREADY SEEN THEIR EFFECTS ON THE PROPERTY MARKET WHICH HAS SHOWN SIGNS OF SLOWING DOWN.
THIS WAS STATED BY THE SECRETARY FOR MONETARY AFFAIRS, MR DAVID NENDICK, WHEN REPLYING TO A QUESTION BY THE HON LEE WING-TAT IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
"THIS IS REFLECTED IN THE SLOWER GROWTH RATE IN RESIDENTIAL MORTGAGE LENDING AND THE DROP IN THE NUMBER OF TRANSACTIONS REGISTERED WITH THE LAND OFFICE," MR NENDICK SAID.
RESULTS OF A SURVEY, CONDUCTED BY THE COMMISSIONER OF BANKING, INDICATED THAT GROWTH IN RESIDENTIAL MORTGAGE LENDING SLACKENED FROM 16% FOR THE SECOND HALF OF 1991 TO 8% FOR THE FIRST HALF OF 1992.
FIGURES UP TO OCTOBER SUGGESTED THAT THE DOWNWARD
CONTINUING.
TREND IS
NEVERTHELESS THE COMMISSIONER HAS CONTINUED TO URGE AUTHORISED INSTITUTIONS NOT TO RELAX THEIR LENDING STANCE.
HE HAS ALSO ADVISED INSTITUTIONS NOT TO ENTER INTO ARRANGEMENTS WITH PROPERTY DEVELOPERS WHICH WOULD ALLOW BORROWERS TO OBTAIN LOANS IN EXCESS OF 70% OF PROPERTY VALUES.
"WHILST THERE MAY BE SOME INSTANCES OF EXCEPTIONS TO THE 70% LOAN-TO-VALUE RATIO, WE ARE SATISFIED THAT IN GENERAL THE BANKING SECTOR IS CONTINUING TO HOLD THE LINE, MR NENDICK SAID.
"
HE SAID IN THE LIGHT OF THIS, THE GOVERNMENT DID NOT BELIEVE THAT FURTHER INITIATIVES WERE CALLED FOR AT THIS STAGE.
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"HOWEVER, AS I HAVE INDICATED, THE SITUATION REGULAR REVIEW, HE SAID.
WORK ON NEW TELECOM POLICY IN PROGRESS
IS KEPT UNDER
THE SECRETARY FOR ECONOMIC SERVICES, MRS ANSON CHAN, SAID SHE SHORTLY TO INTRODUCE TO THE LEGISLATIVE COUNCIL HOPED AMENDMENTS TO THE TELEPHONE AND TELECOMMUNICATIONS WERE NECESSARY TO IMPLEMENT NEW POLICY MEASURES.
PROPOSALS FOR ORDINANCES WHICH
THE GOVERNMENT HAS DECIDED NOT TO RENEW THE HONG KONG TELEPHONE COMPANY'S EXCLUSIVE FRANCHISE FOR THE PROVISION OF LOCAL VOICE TELEPHONE SERVICES, WHEN IT EXPIRES IN 1995, BUT TO REPLACE IT WITH A NON-EXCLUSIVE LICENCE, SHE SAID.
/AGREEMENT HAS