XN000022-1990-05-09 — Page 33

WEDNESDAY, MAY 9, 1990

31

STEADY DEVELOPMENT AS FINANCIAL CENTRE

HAS

THE STEADY DEVELOPMENT OF HONG KONG AS A FINANCIAL CENTRE BEEN, AND CONTINUES TO BE, ONE OF THE MOST STRIKING CHARACTERISTICS OF OUR ECONOMY, THE FINANCIAL SECRETARY, THE HON SIR PIERS JACOBS, IN THE LEGISLATIVE COUNCIL TODAY (WEDNESDAY).

+

SAID

COMPETITIVE BUDGET

"IN SUM, HONG KONG AS A FINANCIAL CENTRE IS HIGHLY AND THRIVING, THE FINANCIAL SECRETARY SAID IN CONCLUDING THE DEBATE.

THE GOVERNMENT IN RESPONSE TO AN ACCUSATION BY A MEMBER THAT WAS NOT MAKING ADEQUATE EFFORTS TO ENHANCE HONG KONG'S COMPETITIVENESS AS A FINANCIAL CENTRE, THE FINANCIAL SECRETARY SAID THE IMPLICATION WAS THAT HONG KONG, AS A FINANCIAL CENTRE, WAS GOING DOWN THE DRAIN.

MORE AND

THEMSELVES IN

"LET US LOOK AT SOME OF THE FACTS, THE FACT IS THAT FOREIGN FINANCIAL INSTITUTIONS ARE ESTABLISHING HONG KONG," HE SAID.

MORE

HAVE

"LAST YEAR, 11 BANK LICENCES WERE GRANTED, THE LARGEST INCREASE IN RECENT YEARS.

DEALERS COMMODITIES

REGISTERED HERE.

MORE

SECURITIES

UP

AND

FROM "OUR FOREIGN EXCHANGE MARKET, WITHOUT ANY STIMULUS COMING GOVERNMENT, CHALKED THE

YEAR IN APRIL LAST

AN AVERAGE DAILY

AND WORLD.

HONG KONG TURNOVER WHICH IS THE SIXTH HIGHEST IN THE REMAINS

THE LION'S AN IMPORTANT LOAN SYNDICATION CENTRE, ARRANGING SHARE OF THE FINANCING DEALS OF THE REGION, HE SAID.

FINANCIAL FINANCIAL SECTOR,

SIR PIERS SAID THE COMPETITIVENESS OF HONG KONG AS A CENTRE OWED MUCH TO THE INGENUITY OF THOSE IN THE WHO HAD BEEN QUICK TO RESPOND TO MARKET OPPORTUNITIES.

TO ENSURE, SUPERVISION, DEGREE OF HONG KONG

"THE

ALSO HAS A ROLE TO PLAY. THIS IS GOVERNMENT WHERE NECESSARY THROUGH PROPER SYSTEMS OF REGULATION AND THE INTEGRITY OF OUR FINANCIAL MARKETS AND AN APPROPRIATE PROTECTION TO INVESTORS. ONLY WHEN THESE ARE ACHIEVED CAN

** HE ADDED. REMAIN COMPETITIVE IN THE LONG RUN,

IN RECENT ON THE SECURITIES SIDE, A GREAT DEAL HAD BEEN DONE YEARS ΤΟ REVAMP OUR REGULATORY SYSTEM, TO BRING IT UP TO STANDARDS ACCEPTABLE TO INTERNATIONAL PLAYERS AND COMMENSURATE WITH HONG KONG'S STATUS AS A MAJOR FINANCIAL CENTRE, THE FINANCIAL SECRETARY SAID.

VITAL TOWARDS

"WE ARE WORKING ON A NEW SETTLEMENTS SYSTEM, WHICH IS OF IMPORTANCE TO OUR FUTURE DEVELOPMENT, AND WE CONTINUE TO MOVE

REGULATION, RIGHT BALANCE OF RESPONSIBILITY IN THE FIELD OF

THE ADDED.

ON

I HE

WERE

REQUIREMENTS THE BANKING SIDE, NEW CAPITAL ADEQUACY INTRODUCED IN 1988 AND REVISED TO MEET INTERNATIONAL STANDARDS SET BY THE BASLE COMMITTEE AT THE END OF 1989, SIR PIERS NOTED.

/"THE THREE-TIER