XN000022-1986-03-26 — Page 24

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WEDNESDAY, MARCH 26, 1986

MR CHEONG-LEEN ADDED THAT WHAT COULD ALSO BE REVIEWED WAS WHETHER THE COST OF LAND WAS AN INHIBITING FACTOR FOR LOCAL INVESTORS FOR LONG-TERM INVESTMENT IN INDUSTRY.

NOTING THAT THE INTRODUCTION OF THE BANKING BILL MIGHT MEAN LESS FLEXIBILITY FOR MEDIUM-SIZE BANKS TO ASSIST SMALL FACTORIES, HE CALLED ON GOVERNMENT TO LOOK AT THE FEASIBILITY OF SOME FORM OF LONG-TERM CREDIT INSTITUTION WITH PARTICIPATION BY INTERESTED BANKS AND BACKING BY GOVERNMENT TO PROVIDE MEDIUM-TERM OR LONG-TERM VENTURE CAPITAL TO INDUSTRIALISTS FOR PLANT EXPANSION OR NEW TYPES OF INDUSTRY.

ON PUBLIC HOUSING, MR CHEONG-LEEN SAID HE CONSIDERED THAT THE TIME HAD COME TO REVIEW THE DIRECTION IN WHICH THE HOUSING AUTHORITY WOULD BE MOVING IN THE NEXT TEN YEARS.

+A CONSCIOUS DECISION SHOULD NOW BE TAKEN BY GOVERNMENT AND THE HOUSING AUTHORITY TO AIM FOR AT LEAST 50 PER CENT OF ALL NEW PUBLIC HOUSING TO BE MADE AVAILABLE PARTLY UNDER THE GOVERNMENT HOME OWNERSHIP AND MORE UNDER THE PRIVATE SECTOR PARTICIPATION SCHEME OVER THE NEXT FIVE OR SIX YEARS, AND FOR THE PROPORTION OF HOME OWNERSHIP COMPARED TO RENTAL ACCOMMODATION TO INCREASE TO 70 PER CENT TEN YEARS FROM NOW, HE SAID.

HE ALSO CONSIDERED THAT MANAGEMENT SHOULD NOT BE THE PERMANENT RESPONSIBILITY OF HOUSING DEPARTMENT STAFF, BUT SHOULD BE TAKEN OVER BY THE HOME OWNERS THEMSELVES WITHIN FIVE YEARS OF POSSESSION OF THEIR HOMES.

MR CHEONG-LEEN SUGGESTED THAT A JOINT STUDY GROUP BE SET UP BY THE GOVERNMENT AND THE HOUSING AUTHORITY TO EXAMINE WHETHER AN ESTATE TOWN COUNCIL TYPE OF ORGANISATION WITH DEFINED MANAGEMENT RESPONSIBILITIES COULD BE TRIED OUT IN HONG KONG.

HE SAID THAT WITHIN FIVE OR SIX YEARS, THE HOUSING AUTHORITY WITH ITS CURRENT $34 000 MILLION ASSET BASÉ SHOULD HAVE ENOUGH CASH FLOW SO THAT THE ENORMOUS PUBLIC HOUSING PROGRAMME COULD BE SELF-SUSTAINING, PROVIDING LAND WOULD BE MADE FREELY AVAILABLE AND THERE WOULD BE MORE EMPHASIS ON EXPANDING THE HOME OWNERSHIP SECTOR IN THE COMING YEARS.

MR CHEONG-LEEN THEN TURNED TO THE NEED FOR EXPANDING THE +VALUE FOR MONEY STUDIES GROUP+ SYSTEM TO SCRUTINISE THE WORK OF MAJOR GOVERNMENT DEPARTMENTS TO MAKE THEM MORE EFFICIENT AND COST CONSCIOUS.

+WITH THE NEW LOOK OF LEGISLATIVE COUNCIL AND THE TREND TOWARDS A MORE OPEN GOVERNMENT, THE ADMINISTRATION SHOULD NOW HAVE THE POLITICAL WILL TO EXPAND THIS APPROACH TO ALL OTHER MAJOR DEPARTMENTS APART FROM THE EXISTING FIVE DEPARTMENTS, HE SAID,

MR CHEONG-LEEN FINALLY URGED THE FINANCIAL SECRETARY TO CONSIDER REDUCING THE TAX ON SOFT DRINKS WHICH WAS IMPOSED LAST YEAR AND TO MAKE UP FOR WHATEVER WOULD BE LOST IN THE COMING FINANCIAL YEAR BY RAISING THE DUTY ON LIQUOR AND CIGARETTES.

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