XN000022-1992-10-01 — Page 2

THURSDAY, OCTOBER 1, 1992

1

AIRPORT FINANCING PROPOSAL SENSIBLE: FS

THE FINANCIAL SECRETARY, MR HAMISH MACLEOD, TODAY (THURSDAY) SAID "A VERY SENSIBLE PROPOSAL" ON AIRPORT FINANCING ARRANGEMENTS BEEN PUT TO THE CHINESE IN THE AIRPORT COMMITTEE.

RESPONDING TO PRESS QUESTIONS AFTER OFFICIATING AT THE CEREMONY OF THE CITIBANK PLAZA, HE SAID: "WE ARE NOW WAITING OFFICIAL RESPONSE."

HAD

OPENING

AN

FOR

SENSIBLE

"AND WHY AMONG OTHER THINGS THAT I SAY IT IS A PROPOSAL I REALLY WOULD LIKE то EMPHASISE AGAIN THAT IT INVOLVES TREATING THE LAND PREMIA CONCERNED AS ADDITIONAL REVENUE AND THERE IS CERTAINLY NO QUESTION OF THAT PACKAGE ADVERSELY AFFECTING OUR OTHER SPENDING, WHETHER ON SOCIAL WELFARE, ON EDUCATION, ON MEDICAL OR ANYTHING ELSE IT IS QUITE SEPARATE - AND THAT IS A STRONG PLUS POINT IN THE PROPOSAL, HE SAID.

-

HE SAID AS THE AIRPORT PROJECT WOULD BENEFIT THE SPECIAL ADMINISTRATIVE REGION (SAR), SO PROPOSALS THAT MIGHT INVOLVE THE SAR CONTRIBUTING IN SOME WAY WOULD CERTAINLY NOT BE UNREASONABLE.

ON THE MATTER OF LAND SALES, HE SAID: "IN FACT, OUR PRESENT PROPOSAL INVOLVES TREATING THE LAND SALES AS ADDITIONAL TO THE NORMAL LAND SALES PROGRAMME. |

"SO ACTUALLY THE REVENUE IS ADDITIONAL TREAT THE SAR PORTION OR OUR PORTION.

ENTIRELY, WHETHER WE

T

ASKED ABOUT WHETHER HONG KONG WAS PREPARING FOR "A ROCKY TIME IN THE LIGHT OF ISSUES OF THE MOST FAVOURED NATION, SECTION 301 AND THE GOVERNOR'S FORTHCOMING SPEECH, MR MACLEOD SAID HONG KONG HAD BEEN THROUGH MANY SUCH CHALLENGES IN THE PAST.

"IT IS TRUE THAT WE HAVE U.S.-CHINA TRADE RELATIONS AS AN ISSUE. I AM AFRAID IT IS NOT A NEW ISSUE AS IT HAS BEEN GOING ON FOR SOME YEARS.

"WE HAVE THE

U.S. ELECTIONS. WE HAVE CONSTITUTIONAL DEVELOPMENTS IN HONG KONG AND SO ON, BUT OUR STRENGTH IS THAT WE FACE THOSE CHALLENGES WITH AN ECONOMY IN EXTREMELY GOOD SHAPE, HE SAID.

HE ALSO POINTED OUT THAT ACTION AGAINST CHINA WOULD AFFECT A LOT OF OTHER COUNTRIES IN THE REGION TOO.

"IT IS NOW PRETTY WELL TAKEN BY MOST PEOPLE. IT HAS BEEN WELL PUT OVER BY THE PRIVATE SECTOR AND OURSELVES IN THE U.S. AND IT HAS DEFINITELY HAD SOME EFFECT," HE SAID.

0

/2