XN000022-1988-03-02 — Page 37

WEDNESDAY, MARCH 2, 1988

27

FS'S SPEECH ON TV AND RADIO

FOLLOWING IS THE TEXT OF THE BUDGET SUMMARY DELIVERED BY THE FINANCIAL SECRETARY ON TELEVISION AND RADIO STATIONS THIS (WEDNESDAY) EVENING.

"THIS AFTERNOON I PRESENTED TO THE LEGISLATIVE COUNCIL MY BUDGET PROPOSALS FOR THE COMING FINANCIAL YEAR. I WAS IN THE HAPPY POSITION OF BEING ABLE TO DO

AGAINST A BACKGROUND OF STRONG ECONOMIC PERFORMANCE AND SOUND PUBLIC FINANCES.

THIS

"IN 1987 WE EXPERIENCED AN ECONOMIC GROWTH RATE OF AROUND

IMPROVEMENT ON THE 13.5 PER CENT, A FURTHER

HEALTHY 11 PER CENT THAT WE ACHIVED IN 1986. THE GROWTH RATE WE HAVE ENJOYED, THE HIGHEST SINCE 1976, WAS SOLIDLY BASED ON OUR EXPORT PERFORMANCE. UNEMPLOYMENT HAS

LOW, AND WAGES AND

HAVE PROFITS

INCREASED SUBSTANTIALLY.

REMAINED

BOTH

I

"IN PUTTING TOGETHER MY PROPOSALS, I HAVE TAKEN INTO ACCOUNT

YEAR BUT ALSO WHAT NOT ONLY THE PERFORMANCE OF THE ECONOMY LAST

WE IT IS IMPORTANT THAT FORESEE FOR 1988 AND THE YEARS BEYOND. REGARD TO THIS LONGER TERM VIEW IN ORDER TO ENSURE STEADY PROGRESS OUR EXPENDITURE AND IN THE SERVICES THAT WE PROVIDE.

HAVE IN

ΤΟ "I AM PLEASED

SAY THAT AT THE MOMENT THE ECONOMY IS CONTINUING TO PERFORM WELL. BUT IT IS UNLIKELY THAT THE GROWTH RATE IN 1988 WILL BE AS STRONG AS IN 1987. IN VIEW OF THE ECONOMIC

THE WORLD, UNCERTAINTIES THROUGHOUT

I EXPECT A SLOWDOWN IN OUR

FIGURE EVEN THOUGH THIS ECONOMIC GROWTH TO AROUND 5 PER CENT. SHORT OF LAST YEAR'S EXCEPTIONAL GROWTH, IT WOULD BE VERY BY WORLD STANDARDS.

OUR

FALLS

RESPECTABLE

CONTINUED MY

SERVICES

POLICY OF

TO

MEET THE INCREASED

HAVE "IN MY EXPENDITURE PROPOSALS I STEADY GROWTH OF PROVIDING FOR THE

PUBLIC

ASPIRATIONS OF

COMMUNITY. I MENTION IN PARTICULAR EXPENDITURE ON MEDICAL AND SOCIAL WELFARE SERVICES, ON ELDERLY AND FOR THE DISABLED, PEOPLE.

AND ON THE

HELP FOR THE EDUCATION OF OUR YOUNG

ARE

"OUR CAPITAL PROGRAMMES IN 1988 WILL INCLUDE EXPENDITURE ON WELFARE FACILITIES THE KOWLOON WALLED CITY CLEARANCE, NEW HOSPITALS,

PROJECTS. IN ADDITION, WE AND A WIDE RANGE OF INFRASTRUCTURAL

TRANSPORT TURNING OUR ATTENTION TO THE LONGER TERM DEVELOPMENT OF OUR SYSTEMS WHETHER BY LAND, SEA OR AIR.

"EVEN WITH THE PLANNED INCREASE

IN EXPENDITURE THAT I HAVE HAS FOR THE SECOND REDUCTIONS IN COST THE OFFSET BY TAXES AND

DESCRIBED, THE STRENGTH OF OUR REVENUE POSITION YEAR IN SUCCESSION GIVEN ME THE OPPORTUNITY TO PROPOSE

WILL THE TAX BURDEN. I AM PROPOSING TAX CONCESSIONS THAT

PARTLY THIS WILL BE REVENUE $3.2 BILLION IN A FULL YEAR.

NUMBER OF INDIRECT SOME RELATIVELY SMALL. INCREASES IN A CHARGES DESIGNED MAINLY TO RESTORE THEIR REAL VALUE.

/"THIS YEAR, ..........