XN000022-1971-02-24 — Page 13

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Wednesday, February 24, 1971

Total revenue in 1971/72, recurrent and capital, was thus estimated

at $3,098 million, which was $117 million, or just under four per cent, more

that the rovised figure for the current year.

Sir John thought it was "interesting," and inadequately taken into

account by those who criticised the Government's fiscal policies, that only

some 60 per cent of its revenues came from taxes. The remainder came principally

from sale of goods and services, rents and interest.

"Our financial strength and our continuing ability to finance the

rapid growth of social services at low tax rates derives, at least in part,

from these policies," he commented.

"There is inadequate recognition of

this in Hong Kong at least."

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