WEDNESDAY, OCTOBER 20, 1993
IT
WILL CONSIDER THE CIRCUMSTANCES OF INDIVIDUAL
AND OTHER RELEVANT FACTORS, INCLUDING:
INSTITUTIONS
* THE INSTITUTION'S STOCK OF LIQUID ASSETS AND THEIR QUALITY,
* THE VOLATILITY AND DIVERSITY OF DEPOSITS,
* THE AVAILABILITY AND RELIABILITY OF UNDRAWN STANDBY
FACILITIES AND;
* THE ABILITY AND WILLINGNESS OF THE PARENT OR HEAD OFFICE ΤΟ
PROVIDE LIQUIDITY.
THE HKMA WILL USE PEER GROUP COMPARISONS IN ITS ASSESSMENT
TO ENSURE FAIR AND EQUITABLE TREATMENT AND IDENTIFY INSTITUTIONS WHOSE POLICIES ARE OUT OF LINE WITH THEIR PEERS CARRYING ON A SIMILAR LINE
OF BUSINESS.
HE NOTED THAT THE HKMA WOULD TAKE MATURITY MISMATCH ANALYSIS TO ASSESS THE ADEQUACY OF LIQUIDITY OF INDIVIDUAL INSTITUTIONS.
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DEVELOPERS DECIDE WHEN TO SELL NEW FLATS
-
IT IS AN ESSENTIAL FEATURE OF THE NORMAL OPERATION OF A MARKET THAT DEVELOPERS ARE FREE TO DECIDE WHEN TO SELL UNITS IN COMPLETED BUILDINGS, THE SECRETARY FOR PLANNING, ENVIRONMENT AND LANDS, MR TONY EASON, TOLD THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).
IN A WRITTEN REPLY TO A QUESTION BY DR THE HON SAMUEL WONG, MR EASON SAID DEVELOPERS MIGHT WISH TO RENT COMPLETED UNITS INSTEAD OF SELLING THEM, FOR INSTANCE, DEPENDING ON THE MARKET CONDITION.
HE SAID A DEVELOPER WHO KEPT COMPLETED UNITS UNSOLD OR EMPTY WOULD LOSE POTENTIAL INCOME FROM THE SALE OR RENTAL OF SUCH UNITS.
"GIVEN THE COSTS INVOLVED IN FINANCIAL CHARGES, SITE MANAGEMENT, PROFESSIONAL FEE ETC, IT SEEMS UNLIKELY THAT A DEVELOPER WOULD DELAY THE COMPLETION OF A PROJECT SIMPLY ΤΟ AVOID RATE PAYMENTS."
MARKET
IT ALSO SEEMS UNLIKELY THAT A DEVELOPER WOULD DEFER THE COMPLETION OF A BUILDING PROJECT TO SPECULATE ON THE PROPERTY GIVEN THE COSTS INVOLVED IN SUCH DEFERRAL, HE SAID.
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