XN000022-1989-10-31 — Page 2

TUESDAY, OCTOBER 31. 1989

HK WITNESSES MAJOR INVESTMENT DECISIONS IN RECENT MONTHS

HONG KONG HAS WITNESSED A NUMBER OF MAJOR INVESTMENT DECISIONS. INCLUDING THE RELOCATION OF COMPANIES' REGIONAL HEADQUARTERS то THE TERRITORY AND SEVERAL NEW MANUFACTURING INVESTMENTS. MADE AFTER THE RECENT EVENTS IN CHINA. THE DIRECTOR OF INDUSTRY. MR T.H. BARMA, SAID TODAY (TUESDAY).

SPEAKING AT THE INWARD INVESTMENT PROMOTION SEMINAR IN OSAKA, JAPAN. MR BARMA SAID THE COMPANIES WHICH HAD RELOCATED THEIR REGIONAL HEADQUARTERS TO HONG KONG INCLUDED HAYES MICROCOMPUTERS (USA), MOVING FROM SINGAPORE: MCDONNEL DOUGLAS (USA). FROM SHANGHAI: AND YAOHAN (JAPAN). FROM SIDI ZVOKA .

AND MAJOR NEW MANUFACTURING INVESTMENTS WERE MADE BY DAIWA STEEL (JAPAN). NEC (JAPAN). DAIDO CONCRETE (JAPAN), MULTIFORM AUSTRALIA), 3M (USA). LAMBDA MAGNETICS LTD [JAPAN/HONG KONG), ADVANCED SEMICONDUCTOR (EUROPE/SINGAPORE/HONG KONG) AND BHP STEEL

AUSTRALIA, TOTALLING OVER US$48 MILLION.

MR BARMA SAID ONE MAIN FACTOR OF HONG KONG'S ECONOMIC SUCCESS WAS THAT THE TERRITORY HAD AN EXCELLENT BUSINESS INFRASTRUCTURE, INCLUDING ITS ENTERPRISING ENTREPRENEURS, ITS HARD-WORKING LABOUR

ITS FREE ECONOMY. ITS WORLD-RENOWNED CONTAINER PORT, AIRPORT, TELECOMMUNICATIONS AND FINANCIAL SERVICES.

↑

1N

HE SAID THE GOVERNMENT. IN ITS ROLE ΤΟ PROVIDE A FAVOURABLE ENVIRONMENT FOR PRIVATE ENTERPRISES. CONTINUED ΤΟ INVEST SUPPORTIVE INFRASTRUCTURES IN THE TERRITORY.

"THESE INCLUDE THE RECENTLY OPENED EASTERN MASS TRANSIT RAILWAY EXTENSION AND THE SECOND CROSS-HARBOUR TUNNEL.. THE NEW UNIVERSITY OF SCIENCE AND TECHNOLOGY. A PROPOSED THIRD INDUSTRIAL ESTATE AND A TECHNOLOGY CENTRE.

"FURTHER, THE CO-ORDINATED NEW INTERNATIONAL AIRPORT AND PORT DEVELOPMENT PROJECT HAS BEEN CONFIRMED. INVOLVING AN ESTIMATED CAPITAL EXPENDITURE OF US$16.3 BILLION.

"THE HONG KONG GOVERNMENT WILL BE SEEKING THE PRIVATE SECTOR INVESTMENT INITIATIVE IN REALISING THE NEW AIRPORT AND PORT DEVELOPMENT PROJECT WHICH WILL TAKE SHAPE IN EARLY 1997. HE SAID.

MR BARMA SAID ANOTHER FACTOR WAS THAT HONG KONG HAD PROVED TO BE HIGHLY RESILIENT AND ALREADY THERE WERE SIGNS THAT BUSINESS CONFIDENCE WAS RETURNING IN HONG KONG.

/"APART FROM