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FS (in Cantonese): Now I think we are still in the region of 17.98%.
Question (? organisation) (in Cantonese): But in the past few years the percentage has been 18.1%. Last year when you did the MRF it was 17.something per cent. Is it because the percentage of the private sector is reduced, that's why you have this figure?
S for Tsy (in Cantonese): In 1995 the growth rate of GDP was revised downwards and so the basis was reduced, and if you use that as the basis and then you work out the MRF forecast of 5%, then public spending in relation to GDP growth will be increased and that is why it is 18%.
FS (in Cantonese): 1 don't think you need to be too concerned about that, it is just our forecast. There could be some minor adjustment, it really depends on our economic performance at the time. But I think what is important is that we must always observe a principle, i.e. economic growth must be the indicator for our expenditure growth.
Question: (inaudible) with Chinese officials before this Budget. is this Budget generally in line with what they were looking for and were they made aware of the contents of it before you got up on your feet this afternoon?
FS: Well, you know we have got a plan for taking the Chinese through the preparation of this year's Budget and they have been involved throughout from April last year up till now and they have made certain views. We have listened to those views. But as far as giving them the Budget, yes we have briefed the Chinese side and copies of my Budget Speech were given to the Chinese side today, this afternoon, both in Peking and to the New China News Agency, and to Mr Chen Zou'er in the Expert Group, as well as Ambassador Chao of the Joint Liaison Group.
Question: My other point was, is the Budget generally in line with the discussions you had with the Chinese?
FS: I believe so far the Chinese side have expressed only general comments at the Expert Group. Perhaps Mr Kwong who is the leader on the British side will be able to tell you a bit more.
S for Tsy: I am afraid I would not be able to give you any details of the discussions in the Expert Group because we are bound by the confidentiality rules, as are the Chinese side. And in case, 1 think the decision on the expenditure are really made on the basis of our assessment of the priority expressed to us through LegCo and also various sectors of the community. At the end of the day, our aim is to provide a Budget which meets the community's needs while respecting strictly our budgetary guidelines. I am confident that the Financial Secretary's Budget has achieved that and I hope that the Chinese side will appreciate it.