XN000022-1988-03-02 — Page 26

16

WEDNESDAY, MARCH 2, 1988

IN THE ESTIMATES, PROVISION HAD BEEN MADE 10 TRANSFER $7.4 TO SUPPORT BILLION FROM THE GENERAL REVENUE ACCOUNT TO VARIOUS FUNDS THE ACTIVITIES THEY FINANCED, THE FINANCIAL SECRETARY SAID.

"THE TRANSFERS ARE BROADLY SUFFICIENT TO ENSURE THAT THE TAKEN BALANCES IN THE FUNDS ARE MAINTAINED IN REAL TERMS. I HAVE ALSO INTO ACCOUNT A SWITCH OF CERTAIN ITEMS TO THE CAPITAL WORKS RESERVE FUND 1988-89 WHICH WERE PREVIOUSLY FUNDED FROM GENERAL REVENUE ACCOUNT, MR JACOBS SAID.

H

FROM 15

"OVERALL, AS A RESULT OF THESE ESTIMATES, CONSOLIDATIED ACCOUNT EXPENDITURE AS A PROPORTION OF GDP IS ESTIMATED TO INCREASE PER CENT IN 1987-88 TO AROUND 15.5 PER CENT, HE ADDED.

11 PER CENT GROWTH IN REVENUE

*

FOR

A

THE

HON

TOTAL REVENUE ON GENERAL REVENUE ACCOUNT AND VARIOUS FUNDS THE NEXT FISCAL YEAR IS ESTIMATED TO BE $62.9 BILLION, REPRESENTING GROWTH RATE OF ABOUT 11 PER CENT, THE FINANCIAL SECRETARY, PIERS JACOBS, SAID IN HIS BUDGET SPEECH TODAY (WEDNESDAY).

1988-89 HE SAID REVENUE IN

WOULD STILL BE BENEFITING FROM EXCEPTIONAL OF

ECONOMIC PERFORMANCE IN TWO YEARS

1986 AND 1987 ALTHOUGH HE HAD FORECAST A SLOWDOWN IN ECONOMIC GROWTH.

VEHICLE ARE EXPECTED

"IN PARTICULAR, YIELDS FROM PROFITS TAX, SALARIES TAX, FIRST REGISTRATION TAX AND MANY OF OUR FEES AND CHARGES TO REMAIN BUOYANT.

"THE YIELD FROM RATES WILL BENEFIT FROM THE RECENTLY PROPERTY REVALUATION, MR JACOBS SAID.

11

ANNOUNCED

MARKET

CAUTION ON STAMP DUTY HOWEVER, HE EXPRESSED

TURNOVER RECORDED IN THE FIRST HALF OF EXCEPTIONALLY HIGH AND UNLIKELY TO BE REPEATED IN THE COMING YEAR.

BECAUSE STOCK WAS 1987-88

ON LAND RELATIVELY

"WHILST THE IMPACT OF THE SLOWDOWN IN ECONOMIC GROWTH

AGAIN PRICES IS NOT YET CLEAR, I HAVE

TO USE PREFERRED CONSERVATIVE ASSUMPTIONS AS TO LAND SALE YIELDS," MR JACOBS SAID.

ΤΟ DIRECT

INDIRECT

IN TERMS OF THE PROPORTION OF

TAXES, MR ABOUT JACOBS SAID THE DIRECT ELEMENT WAS FORECAST TO RISE SLIGHTLY TO

ESTIMATE FOR 1987-88 61 PER CENT IN 1988-89, THE COMPARABLE REVISED WAS 58 PER CENT AND THE ACTUAL SHARE FOR 1986-87 WAS 60 PER CENT.

/TAKING THE