XN000022-1980-07-09 — Page 27

WEDNESDAY, JULY

930

25

HE EXPLAINED THAT THE INCREASING SCOPE AND COMPLEXITY OF THE WORK OF THE BOARD HAS NOW MADE IT NECESSARY FOR SOME OF THE FUNCTIONS AND DUTIES, SUCH AS REGISTRATION OF PHARMACEUTICAL PRODUCTS, BE DELEGATED TO EXECUTIVE COMMITTEES.

DR THONG ALSO PROPOSED THE SETTING UP OF A PHARMACY AND POISONS APPEALS TRIBUNAL WITH JURISDICTION TO HEAR AND DETERMINE APPEALS AGAINST A DECISION OF THE BOARD OR ITS COMMITTEES ON MATTERS CONCERNING LICENSING, REGISTRATION AND THE ISSUE OF CERTIFICATES.

THE TRIBUNAL WILL COMPRISE OF PERSONS TO BE APPOINTED BY THE GOVERNOR, TO BE CHAIRED BY A LEGALLY QUALIFIED PERSON. OTHER MEMBERS OF THE TRIBUNAL SHOULD COME FROM REPRESENTATIVES OF THE MEDICAL AND PHARMACOLOGICAL PROFESSIONS, THE PHARMACIST ASSOCIATION, THE PHARMACEUTICAL INDUSTRY AND THE RETAIL PHARMACEUTICAL TRADE.

DEBATE ON THE BILL WAS ADJOURNED.

EXCHANGE FUND BORROWING LIMIT RAISED

****

A MOTION TO INCREASE THE BORROWING LIMIT OF THE EXCHANGE FUND BY 50 PER CENT TO $15 000 MILLION WAS APPROVED AT THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

IN SUPPORTING THE PROPOSAL, THE ACTING CHIEF SECRETARY, THE HON SIR PHILIP HADDON-CAVE, EXPLAINED THAT THE BULK OF THE GOVERNMENT'S ACCUMULATED FISCAL RESERVES, THE GENERAL REVENUE BALANCE, WERE INVESTED BY THE TREASURY WITH THE EXCHANGE FUND, AGAINST THE ISSUE BY THE FUND OF INTEREST-BEARING DEBT CERTIFICATES.

HE SAID THE GOVERNMENT'S FISCAL RESERVES WERE HELD WITH THE EXCHANGE FUND TO AVOID THE NECESSITY OF THESE RESERVES HAVING TO BEAR EXCHANGE RISKS.

+FURTHERMORE, TO THE EXTENT THAT THESE RESERVES REPRESENT PART OF THE EXCHANGE FÜND'S HOLDINGS OF HONG KONG DOLLARS, THEY PLAY A PART IN THE EXERCISE OF LEVERAGE ON THE LIQUIDITY RATIOS OF THE BANKING SYSTEM, HE SAID.

SIR PHILIP SAID EXCHANGE FUND DEBT CERIFICATES ISSUED TO THE TREASURY HAVE CONTINUED TO RISE THROUGHOUT THIS YEAR.

ON DECEMBER 31, 1979 THEY AMOUNTED TO $5 520 MILLION ON MARCH 31, 1980, THEY AMOUNTED TO $8 517 MILLION- AND ON JUNE 30, 1980, THEY AMOUNTED TO $8 830 MILLION.

+ALTHOUGH WE FACE EXCEPTIONALLY HEAVY EXPENDITURE COMMITMENTS OVER THE NEXT FEW MONTHS, I ANTICIPATE THAT THE PRESENT BORROWING LIMIT ON THE EXCHANGE FUND OF $10 000 MILL FON MAY BE REACHED BEFORE THE END OF THIS FINANCIAL YEAR, HE ADDED.

/20