XN000022-1987-04-01 — Page 5

WEDNESDAY, APRIL 1, 1937

BUT HE SAID THIS WAS LARGELY OFFSET BY LOWER RECEIPTS ON THE HOME OWNERSHIP FUND FOLLOWING DELAY IN THE SALE OF FLATS.

OVERALL, THE NET POSITION ON THE FUNDS WAS NOT EXPECTED TO VARY SIGNIFICANTLY FROM THAT GIVEN IN HIS BUDGET SPEECH, HE SAID.

BUT HE SAID REVENUE WAS SUSCEPTIBLE TO LAST MINUTE VARIATIONS AND HIS COMMENTS TODAY REGARDING 1986-87 WERE STILL BASED ON ESTIMATES AS FIGURES FOR GOVERNMENT FINANCE WERE AVAILABLE ONLY TO THE END OF FEBRUARY,

MR JACOBS NOTED THAT EXTENSIVE COMMENTS HAD BEEN MADE ABOUT THE BUDGET, BUT HE REGARDED THE DESCRIPTION +SIMPLY MARVELLOUS+ AS A PROPER AND CONSIDERED JUDGEMENT OF HIS PROPOSALS.

HE DISAGREED WITH A SUGGESTION THAT HIS BUDGET WAS LACKING IN VISION, SAYING THAT HIS PROPOSALS WERE PREPARED IN RELATION TO WHAT HAD HAPPENED IN THE PAST AND WHAT WAS FORESEEN FOR THE FUTURE.

+ MIGHT ADD THAT HAVE THEREFORE ALREADY BEGUN TO EXAMINE OPTIONS FOR 1988,+ HE SAID.

RESPONDING TO COMMENTS THAT THE BUDGET WAS NOT DOING ENOUGH FOR INDUSTRY, MR JACOBS POINTED OUT THAT THE GOVERNMENT HAD MADE A SIGNIFICANT CONTRIBUTION TO THE PROMOTION OF INDUSTRY IN HONG KONG THROUGH SUCH BODIES AS THE INDUSTRY DEVELOPMENT BOARD, THE VOCATIONAL TRAINING COUNCIL AND THE HONG KONG PRODUCTIVITY COUNCIL.

+I BELIEVE THAT SO FAR OUR PROGRAMMES HAVE BEEN SUCCESSFUL. OF COURSE, THEY CAN BE FURTHER DEVELOPED AND THAT IS WHAT WE ARE IN THE PROCESS OF DOING. IT IS AN ON-GOING TASK.+

HE ALSO SAID WHILE IT WAS EASY TO GIVE A RANGE OF FINANCIAL INCENTIVES FOR INDUSTRY, ALL TOO OFTEN THEY DID NOT HAVE THE DESIRED EFFECT.

+WE MUST ENSURE THAT WHATEVER WE DO GIVES VALUE FOR MONEY, AND THAT IS WHY IDEAS HAVE TO BE THOROUGHLY EXAMINED AND TESTED. WE MUST NOT BE AND ARE NOT COMPLACENT, BUT EQUALLY WELL WE DO NOT BELIEVE IN BEING HUSTLED INTO WASTEFUL EXPENDITURE,+ HE ADDED.

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