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Mr Donald Tsang (in Chinese): Well, in terms of expenditure we have already tried our best. As for capital expenditure, especially for investment like infrastructure or capital expenditure, we have tried our best, we have spent to the full. We have enough financial resources but we have to mobilise other resources. Say for 96/97 there was still under-spending, it was because in terms of engineering, engineer resources, construction resources, we haven't tapped that to the full. Of course if need be we have to put in more money but for recurrent we have spent to the full.
Reporter (in Chinese): Can you reduce expenditure so that there won't be dire consequences? Some economists say that you have huge surpluses and that means the money cannot be used productively.
Mr Donald Tsang (in Chinese): Many economists have different views. If they are in my position they will know.
Moderator (in Chinese): It is already 5:50, the last two questions. One is in English.
Reporter (in English): Mr Tsang, you have been a trade negotiator for a long time and you know perfectly well that the kind of conversation you have heard today very generously on the wine tax is usually part of a bargaining process with other countries. Do you expect any return from France or Italy or Australia, the wine exporting countries, to Hong Kong?
Mr Donald Tsang (in English): No, I have not considered that aspect. Wine duty is an excise duty, it is not a duty imposed on imports or exports as such, because this duty is imposed on even local products, so it is not a matter for the World Trade Organisation at all. It is a matter of self-enlightenment, if I might say so.
Reporter (in Chinese): Mr Tsang, now as far as I know there are some worries that Hong Kong may be caught between the dispute between China and the US in terms of MFN and trade, so how can you anticipate the impact of this factor on your budgeting processes?
Mr Donald Tsang (in Chinese): I will use Cantonese to answer you. I think you will get it. For budgeting, last month, as I said, for the economic growth rate it is 5.5%. It is not just the economic activities in Hong Kong, we also consider the market situation in the region and also the US and also the opening up situation in China. And so in 1997 we feel that we can reach 5.5%.
Reporter (in Chinese): If there is big controversy, say if China loses MFN, what would be the scenario?