XN000022-1985-12-11 — Page 37

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WEDNESDAY, DECEMBER 11, 1985

HOWEVER, THE USE OF THE ELECTRONIC ROAD PRICING TECHNOLOGY FOR THE VOLUNTARY COLLECTION OF TOLLS AT TUNNELS SHOULD BE PURSUED. MR MACPHERSON SAID THIS SYSTEM WAS TO BE CALLED 'AUTOTOLL'.

A GOVERNMENT SPOKESMAN SAID THAT THE AUTOTOLL SYSTEM IN THE FIRST INSTANCE WOULD BE INTRODUCED AT THE LION ROCK TUNNEL FOR BUSES AND FLEET USERS. IT WAS HOPED TO HAVE THIS IN OPERATION BY THE MIDDLE OF 1986 AND TO EXTEND THIS TO OTHER USERS AND OTHER TUNNELS, SUBJECT TO FURTHER STUDY, BY THE MIDDLE OF 1987.

MR MACPHERSON ALSO SAID THAT CONSIDERATION WOULD BE GIVEN, IN DUE COURSE, TO THE POSSIBILITY OF A VOLUNTARY SCHEME OF ROAD PRICING. THIS WOULD BE LOOKED AT IN THE LIGHT OF EXPERIENCE WITH AUTOTOLL.

PRUDENT BUDGETARY POLICY TO CONTINUE

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THE GOVERNMENT WILL CONTINUE TO FOLLOW A PRUDENT BUDGETARY POLICY AND REMAIN COMMITTED TO A FREE-ENTERPRISE APPROACH TO ECONOMIC POLICY, THE SECRETARY FOR ECONOMIC SERVICES, MR PIERS JACOBS, SAID TODAY (WEDNESDAY).

IN A SPEECH ENTITLED AN ECONOMIC ROUND-UP FOR 1985+ GIVEN TO THE FINANCIAL EXECUTIVES INSTITUTE, MR JACOBS PLEDGED TO CONTINUE TO INVEST VIGOROUSLY IN THE INFRASTRUCTURE WHICH THE COMMUNITY REQUIRED FOR A BETTER FUTURE.

HE SAID HONG KONG'S ECONOMY WAS BASICALLY HEALTHY +ALTHOUGH THE GDP GROWTH RATE IN 1985 IS LIKELY TO BE MODERATE, BOTH UNEMPLOYMENT AND THE RATE OF INFLATION ARE RELATIVELY LOW, THE BUDGET DEFICIT IS LOW AND A BALANCED BUDGET IS IN SIGHT. +

HE POINTED OUT THAT OUR ECONOMY REMAINED, AS ALWAYS CRUCIALLY DEPENDENT ON TRADE AND THUS VULNERABLE TO EXTERNAL FORCES OUTSIDE HONG KONG'S CONTROL.

THERE HAS BEEN A SIGNIFICANT PROTECTIONIST MOOD IN THE UNITED STATES, HE ADDED, AND THIS MUST POSE A THREAT TO OUR TRADING POSITION.

MR JACOBS STRESSED THAT HONG KONG IMPOSED NO TARIFFS OR QUANTITATIVE RESTRICTIONS ON THE IMPORTATION OF FOREIGN GOODS AND THE GOVERNMENT NEITHER SUBSIDISED EXPORTS OF MANUFACTURED PRODUCTS, NOR PROTECTED THE DOMESTIC MARKET FROM FOREIGN COMPETITION.

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