XN000022-1989-01-30 — Page 3

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MONDAY, JANUARY 30, 1989

"FOR PRACTICAL PURPOSES, IT WILL BE USEFUL TO APPOINT 4.15 PM TO 4.45 PM AS THE TIME DURING WHICH REQUESTS FOR LATE ASSISTANCE CAN BE MADE TO THE EXCHANGE FUND," HE ADDED.

HE GAVE A STRONG DEFENCE OF THE EXISTING CLEARING ARRANGEMENTS FOR THE BANKING SYSTEM DESIGNED BY THE HONG KONG ASSOCIATION OF BANKS.

中甲 THE GOVERNMENT IS FIRMLY OF THE VIEW THAT THE PRESENT CLEARING ARRANGEMENTS WORK WELL FOR HONG KONG AND THERE IS NO NEED FOR CHANGE.

J

ON THE QUESTION OF A "DISCOUNT WINDOW" MR YAM SAID THAT HONG KONG HAD A VERY EFFICIENT MONEY MARKET TO MEET FUNDING REQUIREMENTS.

ALSO, THE EXCHANGE FUND, RATHER THAN A COMMERCIAL COMPETITOR, HAD NOW TAKEN ON THE ROLE AS THE LENDER OF LAST RESORT, HE SAID.

·

'WHAT IS MORE IMPORTANT IS THAT WE ARE NOT PURSUING AN ACTIVE INTEREST RATE POLICY. THERE IS THEREFORE LITTLE JUSTIFICATION FOR PROVIDING THE MARKET WITH SUCH A STRONG INDICATOR ON THE LEVEL OF INTEREST RATE AS A DISCOUNT RATE.

TI

DB'S PLAYING AN INCREASINGLY IMPORTANT ROLE

* *

THE

THE DISTRICT BOARDS HAVE BEEN PLAYING AN INCREASINGLY IMPORTANT ROLE IN THE GOVERNMENT'S CONSULTATIVE MACHINERY, REGIONAL SECRETARY FOR HONG KONG AND KOWLOON, MR DAVID LAN, SAID TODAY (MONDAY).

SPEAKING AT THE INAUGURAL BALL OF THE HONG KONG JÚNIOR CHAMBER OF COMMERCE, MR LAN SAID THAT EXTENSIVE CONSULTAT LONS HA BECOME A STANDARD PROCEDURE TO BE FOLLOWED IN THE FORMULATION OF MAJOR GOVERNMENT PLANS AND POLICIES.

"I AM GLAD TO SAY THAT THE DISTRICT BOARDS HAVE FULFILLED THEIR CONSULTATIVE ROLE ADMIRABLY. HE SAID.

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MR LAN ALSO DREW ATTENTION

TO THE

IMPORTANCE OF CIVIC

EDUCATION.

IN THE OVERALL AND LONG-TERM INTEREST OF HONG KONG, IT IS IMPORTANT THAT MORE AND MORE YOUNG PEOPLE ARE KNOWLEDGEABLE IN GOVERNMENT AND COMMUNITY AFFAIRS AND ARE WILLING TO SERVE THE PEOPLE OF HONG KONG, HE NOTED.

/DURING THE