XN000022-1974-03-13 — Page 20

Wednesday, March 13, 1974

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Mr. Lee was strongly against the idea of deferring some of the

capital projects amounting to an estimated $1,960 million, the accumulated

shortfall mentioned by the Financial Secretary if the projects were to

be carried out.

"Our problem cannot be solved simply by increasing direct or

indirect taxation. Nor can it be solved by utilising our already reduced

reserves because this would weaken our ability to deal with unforeseen

contingencies. Nor can it be solved by deferring the implementation of

our programmes, because this would defeat our objective of social development

and meating the needs of our people," he said.

"The long term solution is to ensure that our economy will continue

to grow at a steadily increasing rate commensurate with our needs for

social development."

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