XN000022-1989-06-06 — Page 13

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TUESDAY, JUNE 6, 1989

OF

TURNING TO THE CONFIDENCE

BUSINESSMEN IN THE LONG-TERM FUTURE OF HONG KONG, MR LEUNG SAID THE FACT THAT INVESTMENTS IN CAPITAL GOODS HAD CONTINUED TO SCORE DOUBLE-DIGIT GROWTH FROM 1986 то 1988.

FROM 1981 TO 1988, HONG KONG'S DOMESTIC EXPORTS INCREASED ON AVERAGE BY 9.6 PERCENT IN REAL TERMS A YEAR. FROM 1985 TO 1988. WHEN THE SINO-BRITISH AGREEMENT ON HONG KONG'S FUTURE HAD THE ANNUAL AVERAGE GROWTH WAS 13.9 PERCENT.

BEEN IN FORCE,

MR LEUNG QUOTED FINDINGS OF A STUDY OF PERFORMANCE TO 1987 OF ABOUT 80 FIRMS WITH JAPANESE INTERESTS SAYING SALES INCREASED BY 13 PERCENT IN 1986 OVER 1985 AND BY 38 1987.

FROM 1985 THAT THEIR PERCENT IN

INVESTORS'

MR LEUNG BELIEVED THESE PROBABLY REFLECTED JAPANESE LONG-TERM VIEW OF HONG KONG AND HE WAS CONFIDENT THAT THEY WOULD CONTINUE TO INVEST HEAVILY IN ACQUIRING INDUSTRIAL ACCOMMODATION AND NEW MACHINERY.

ON WHAT THE HONG KONG GOVERNMENT HAD BEEN DOING TO SUSTAIN ECONOMIC GROWTH, MR LEUNG SAID THE PUBLIC SECTORS WERE CONTINUING INVEST HEAVILY IN INFRASTRUCTURE.

THE

TO

"A DECISION ON THE SITE OF A NEW INTERNATIONAL EXPECTED TO BE MADE BY THE END OF THIS YEAR.

AIRPORT IS

"THE HANDLING CAPACITY OF THE KWAI CHUNG CONTAINER PORT WILL BE DOUBLED WHEN BOTH TERMINALS 6 AND 7 ARE FULLY COMPLETED BY THE MIDDLE OF THIS YEAR AND 1991. WE ARE CURRENTLY CONSIDERING THE LOCATIONS FOR TERMINALS 8 AND 9.

"A NUMBER OF MAJOR TRANSPORT FACILITIES ARE ALSO BEING CONSTRUCTED AND MANY MORE ARE BEING ACTIVELY PLANNED," HE SAID.

MR LEUNG EMPHASISED THAT THE HONG KONG GOVERNMENT ALLOWED NO CHANCE THAT HONG KONG SHOULD LAG BEHIND IN ITS BUSINESS INFRASTRUCTURE. IN FACT, IT CONSTANTLY CRAVED TO LEAD,

MR LEUNG IS ON A FIVE-DAY INDUSTRIAL PROMOTION VISIT TO JAPAN AND WAS INVITED TO SPEAK IN TWO SYMPOSIA SPONSORED BY THE JETRO AND THE YOKOHAMA INDUSTRIAL INSTITUTE AIMED AT ATTRACTING MORE INWARD INVESTMENT IN MANUFACTURING INTO HONG KONG.

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