XN000022-1990-06-21 — Page 3

THURSDAY, JUNE 21, 1990

2

T

MANY OPPORTUNITIES FOR INVESTORS IN HK

*

HONG KONG REMAINS

DEPENDENT COMPLETELY

OF

THE

ON

AND ITS TRADING

ΤΟ AND WORLD

CONTINUES DIRECTOR OF THE HONG UNITED STATES, MR

OTHER BUSINESS LINKS WITH THE REST OFFER OPPORTUNITIES IN MANY, MANY FIELDS, THE

FOR THE WESTERN KONG ECONOMIC AND TRADE OFFICE PETER JOHNSON, SAID YESTERDAY (WEDNESDAY).

ADDRESSING

AN AUDIENCE

OF

BUSINES9 450

EXECUTIVES

AND

COMMUNITY LEADERS AT A WORLD AFFAIRS COUNCIL DIVNER IN ORANGE COUNTY, SAID THE JAPANESE WERE CURRENTLY SOUTHERN CALIFORNIA, MR JOHNSON

RRAL ESTATE, INVESTING IN A NUMBER OF FIELDS IN HONG KONG, INCLUDING MANUFACTURING, RETAIL STORES AND LARGE INFRASTRUCTURE PROJECTS.

TRENDS, THE JAPANESE COULD "GIVEN A CONTINUATION OF PRESENT OVERTAKE THE U.S. AS THE LARGEST OVERSEAS INVESTOR IN THE TERRITORY'S

MR JOHNSON NOTED. MANUFACTURING INDUSTRY WITHIN THE NEXT FEW YEARS,

"I

HE ADDED THAT U.S. INTERESTS, HOWEVER, ALSO REMAINED STRONG.

US$700 MILLION "U.S. WEST HAS A 25 PER CENT STAKE IN OUR NEW

A US$700 CABLE TV NETWORK, CITICORP IS TAKING A 10 PER CENT STAKE IN

AREA, THE BANK OF AMBRICA IS MILLION DEVELOPMENT IN THE DOWNTOWN

DEVELOPING MOVING ITS REGIONAL HEADQUARTERS TO HONG KONG, MOTOROLA IS

ARE A HUGE NEW FACILITY; PLUS A NUMBER OF OTHER, SMALLER DEVELOPMENTS UNDERWAY,

..

MONTHS, THE HONG MR JOHNSON CONCEDED THAT DURING THE PAST 18 KONG ECONOMY HAD SLOWED DOWN FROM THE HEADY DAYS OF 1986 TO 88.

WERE UP TO

IN

"DOMESTIC EXPORTS HARDLY GREW IN 1989, RE-EXPORTS 19 PER CENT AND IMPORTS NINE PER CENT. GDP GROWTH WAS 2.5 PER CENT REAL TERMS.

"WE EXPECT ABOUT THREE PER CENT THIS PICKING UP IN THE SECOND HALF OF THE YEAR.'

YEAR, WITH THE ECONOMY

HE POINTED OUT THAT THIS SLOWDOWN WAS EXPECTED AND PRINCIPAL REASONS.

CITED FOUR

то OUR "THE NORMAL OPERATION OF THE BUSINESS CYCLE WHICH, DUE

TENDS TO COMPLETELY OPEN ECONOMY AND DEPENDENCE ON THE OUTSIDE WORLD,

THE LEAN YEARS THAN INVOLVE A GREATER CONTRAST BETWEEN THE FAT AND ELSEWHERE, HE SAID.

GROWTH OF HONG KONG'S MAJOR

THE OTHER REASONS CITED

SLOWDOWN

WERE THE

THE OVERSEAS MARKETS; THE RETRENCHMENT

AND 1988,

IN EFFECT WELL SUCH AS A

IN

RATE OF IN

CHINA, WHICH WAS ORDAINED IN THE FALL OF BEFORE THE TROUBLES OF LAST SUMMER; AND INTERNAL FACTORS, SHORTAGE OF LABOUR.

THE

THE

OF

TO ANY

EXTENT SIGNIFICANT "THE CURRENT SLOWDOWN IS NOT

ABOUT DRAIN' ALTHOUGH WE ARE CONCERNED RESULT OF THE 'BRAIN NUMBERS OF QUALIFIED PEOPLE WHO ARE LEAVING, OR THE ALLEGED FLIGHT

CONFIDENCE," MR JOHNSON CAPITAL, OR OF ANY GENERAL LOSS IN BUSINESS SAID.

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