XN000022-1993-02-08 — Page 2

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GOVERNOR GETS WELL

MONDAY, FEBRUARY 8, 1993

A GOVERNMENT HOUSE SPOKESMAN TODAY (MONDAY) SAID THE GOVERNOR, THE RT HON CHRISTOPHER PATTEN, CONTINUED TO RECOVER WELL.

HE HAS SPENT THE DAY RELAXING AND READING AT HOME. HIS DOCTORS REMAIN ENTIRELY SATISFIED WITH HIS PROGRESS.

GDP FOR THIRD QUARTER OF 1992

HONG KONG'S GROSS DOMESTIC PRODUCT (GDP) GREW BY 5.2% IN REAL TBRMS IN THE THIRD QUARTER OF 1992 OVER THE SAME QUARTER OF 1991, ACCORDING ΤΟ THE PRELIMINARY ESTIMATES RELEASED BY THE CENSUS AND STATISTICS DEPARTMENT TODAY (MONDAY).

IN

1991.

AMONG THE MAIN DOMESTIC COMPONENTS OF THE GDP ESTIMATES, GROSS DOMESTIC FIXED CAPITAL FORMATION GREW SIGNIFICANTLY BY 11.8% IN REAL TERMS

THE THIRD QUARTER OF 1992 OVER THE THIRD QUARTER OF

WITHIN THIS COMPONENT, INVESTMENT EXPENDITURE ON MACHINERY EQUIPMENT, IN PARTICULAR, SHOWED A REMARKABLE INCREASE OF 28.5%.

FOR

ON THE SAME BASIS OF COMPARISON, THE GROWTH RATE IN REAL PRIVATE CONSUMPTION EXPENDITURE WAS 9.1%, WHILE THAT GOVERNMENT CONSUMPTION EXPENDITURE WAS 9.5%.

AND

TERMS

FOR

REAL AND

REGARDING EXTERNAL TRADE IN GOODS, THE GROWTH RATE IN TERMS IN THE THIRD QUARTER OF 1992 WAS 0.6% FOR DOMESTIC EXPORTS 26.8% FOR RE-EXPORTS. THE CORRESPONDING GROWTH RATE FOR IMPORTS OF GOODS WAS 20.7%.

AS REGARDS EXPORTS OF SERVICES, THE GROWTH RATE IN REAL TERMS WAS 7.6% THE CORRESPONDING GROWTH RATE FOR IMPORTS OF SERVICES WAS 8.2%.

+

THE IMPLICIT PRICE DEFLATOR OF GDP, AS A BROAD MEASURE OF OVERALL INFLATION IN THE ECONOMY, ROSE BY 9.3% IN THE THIRD QUARTER OF 1992 OVER A YEAR EARLIER, FOLLOWING AN INCREASE OF 10.2% IN THE SECOND QUARTER.

THE YEAR-ON-YEAR GROWTH RATE OF OVERALL GDP FOR THE THIRD QUARTER OF 1992 WAS LOWER THAN THE GROWTH RATES RECORDED FOR THE VARIOUS FINAL DEMAND COMPONENTS, INCLUDING PRIVATE CONSUMPTION EXPENDITURE, GROSS DOMESTIC FIXED CAPITAL FORMATION AND TOTAL EXPORTS OF GOODS AND SERVICES.

THIS IS NOT UNREASONABLE BECAUSE THE INCREASES FOR THE FINAL DEMAND COMPONENTS WERE SUPPORTED BY A LARGE INCREASE IN APART FROM THE INCREASE IN LOCAL PRODUCTION,

VARIOUS IMPORTS

IS

GDP REFLECTS HOW MUCH THE LOCAL ECONOMY HAS PRODUCED AND ACTUALLY THE SUM OF ALL FINAL DEMAND COMPONENTS NET OF THEIR CORRESPONDING IMPORT CONTENTS.

/ALSO RELEASED