I
FRIDAY, JULY 2, 1993
WITH
THE
HE HOPED THAT CONSULTATION
MEMBERS WOULD HELP GOVERNMENT MAP OUT HOW BEST TO DIRECT THE RESOURCES AVAILABLE TO MEET THE ASPIRATIONS AND NEEDS OF THE COMMUNITY.
THE FINANCIAL SECRETARY NOTED THAT TOTAL RECURRENT EXPENDITURE HAD INCREASED BY ABOUT 28 PER CENT IN REAL TERMS OVER THE PAST FIVE YEARS, FROM 1988/89 TO 1993/94.
RECURRENT EXPENDITURE ON KEY AREAS LIKE SOCIAL WELFARE, HEALTH AND ENVIRONMENT HAD EVEN EXCEEDED THIS RATE OF GROWTH, HE SAID.
ON CAPITAL EXPENDITURE, MR MACLEOD NOTED THAT OVER THE PAST FIVE YEARS, TOTAL EXPENDITURE ON MAJOR NON-AIRPORT CORE PROGRAMME PUBLIC WORKS PROJECTS HAD INCREASED BY MORE THAN 47 PER CENT IN REAL TERMS.
WORKS
HE TOLD MEMBERS THAT IT WAS CLEAR FROM UNDERSPENDING ON CAPITAL PROJECTS THAT THERE WERE CAPACITY CONSTRAINTS IN WORKS
DEPARTMENTS.
"I AM CHAIRING A STEERING COMMITTEE OVERSEEING CONSULTANTS WHO ARE EXAMINING WHAT CAN BE DONE,
++ HE SAID.
HE INVITED MEMBERS TO MAKE SUGGESTIONS ABOUT PRIORITY AREAS FOR POSSIBLE NEW PUBLIC WORKS ITEMS TO BE INCLUDED IN THE FIVE-YEAR CAPITAL WORKS PROGRAMME.
HOWEVER, HE CAUTIONED THAT TOO MANY NEW PROJECTS THAT COULD OVERLOAD THE SYSTEM MUST NOT BE ADDED AND SHOULD BEAR IN MIND THAT IT NORMALLY TOOK A LEAD TIME OF AT LEAST TWO YEARS TO START NEW PROJECTS.
AFTER SEEKING MEMBERS' VIEWS ON EXPENDITURE PRIORITIES, THE FINANCIAL SECRETARY WILL LATER IN THE YEAR CONDUCT ANOTHER ROUND OF CONSULTATION WITH MEMBERS ON REVENUE OPTIONS.
AT TODAY'S BRIEFING, THE FINANCIAL SECRETARY TOLD MEMBERS THAT THE GOVERNMENT ACCOUNTS FOR 1992/93, WHICH HAD JUST BEEN COMPLETED, SHOWED THAT THE CONSOLIDATED SURPLUS FOR THE YEAR AMOUNTED TO $21.9BILLION.
THIS IS MARGINALLY HIGHER THAN THE REVISED ESTIMATE OF $20.5BILLION INCLUDED IN HIS BUDGET SPEECH IN MARCH THIS YEAR.
"I AM PLEASED THAT THE VARIANCE BETWEEN THE REVISED ESTIMATES AND THE OUTTURN FOR THE YEAR IS QUITE SMALL THE LOWEST IN THE PAST FIVE YEARS.
—
"THIS REFLECTS THE EFFORTS MADE DURING 1992/93 TO ACHIEVE GREATER REALISM IN OUR FORECASTING,
..
HE SAID.
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