XN000022-1986-03-26 — Page 25

WEDNESDAY, MARCH 26, 1986

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RIPE TIME FOR DETAILED ECONOMIC STUDY

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IT IS NOW TIME FOR A DETAILED ECONOMIC STUDY TO BE COMMISSIONED TO EXAMINE THE TRENDS OF ECONOMIC, TRADE AND INDUSTRIAL DEVELOPMENT IN HONG KONG DURING THE LAST SEVEN YEARS AND TO CONSIDER THE LIKELY TRENDS AND OPPORTUNITIES DURING THE NEXT FIVE TO 10 YEARS.

THIS CALL CAME FROM THE HON THOMAS CLYDESDALE TODAY (WEDNESDAY) WHEN HE SPOKE IN SUPPORT OF THE APPROPRIATION BILL 1986 DURING THE BUDGET DEBATE IN THE LEGISLATIVE COUNCIL. SUCH A STUDY WOULD ENCOURAGE AND SUPPORT FORWARD PLANNING AND AID PRIVATE SECTOR INVESTORS TO REACH SENSIBLE DECISIONS, HE SAID.

IT MIGHT ALSO INDICATE AREAS FOR NEW INITIATIVES IN BOTH THE PUBLIC AND PRIVATE SECTORS, HE ADDED.

MR CLYDESDALE SAID: +A STUDY OF THIS NATURE COULD REQUIRE CONSIDERABLE FUNDING AND MIGHT INVOLVE INTERNATIONAL PROFESSIONAL ORGANISATIONS WORKING WITH OUR OWN INSTITUTIONS AND ABOVE ALL OUR OWN BUSINESS PEOPLE.

+IT WOULD BE ESSENTIALLY ECONOMIC IN CHARACTER BUT WOULD OF COURSE HAVE TO TAKE INTO ACCOUNT THE POLITICAL AND CONSTITUTIONAL CHANGES WHICH WILL AFFECT US DURING THE NEXT DECADE.+

SPENT.

BUT, HE STRESSED THAT IT COULD BE TIME AND MONEY VERY WELL

MR CLYDESDALE POINTED OUT THAT HONG KONG'S ECONOMY WAS UNDERGOING SUBSTANTIAL CHANGE, PARTLY RESULTING FROM FUNDAMENTAL SHIFTS IN CHINA'S ECONOMIC POLICIES DURING THE LAST FEW YEARS AND PARTLY THROUGH THE NATURAL RESPONSE OF BUSINESSMEN TO THE STIMULUS OF CHANGING EXTERNAL OPPORTUNITIES.

+WE ARE AWARE OF SOME OF THESE CHANGES IN THE MACRO-ECONOMIC SENSE AND WE CAN ANTICIPATE OTHERS BY EXAMINING TRENDS AND POSSIBILITIES.

+HOWEVER, IT IS INCREASINGLY NECESSARY FOR US IN FUTURE TO THINK FURTHER AHEAD THAN EVER BEFORE GIVEN THE VERY LARGE STAKES INVOLVED AND THE NEED TO USE OUR RESOURCES EFFECTIVELY,+ HE SAID.

HE REFERRED TO THE 1979 REPORT ON INDUSTRIAL DIVERSIFICATION WHICH PROVIDED A DETAILED ANALYSIS OF THE STRENGTHS, WEAKNESSES AND NEEDS OF AN INDUSTRIAL ECONOMY POISED FOR FURTHER SUBSTANTIAL GROWTH, AND SAID IT HAD SINCE GREATLY BENEFITTED HONG KONG INDUSTRY AND THE ECONOMY.

/FOR THE ........................