XN000022-1993-03-31 — Page 18

WEDNESDAY, MARCH 31, 1993

2

OVER

"I THINK THIS CONFUSION MAY ARISE FROM A MISUNDERSTANDING THE PERIOD COVERED BY THE MRF. AND THIS MISUNDERSTANDING EVEN EXTENDS ΤΟ SUCH AREAS AS HOUSING, TRANSPORT AND SO ON WHERE WE PUBLISH THAT GO BEYOND THAT DATE.

[

PLANS

LAST YEAR MR MACLEOD EXTENDED THE NORMAL PERIOD OF THE MRF

IN 1996/97 ONE YEAR BECAUSE IT SEEMED VERY USEFUL TO INCLUDE YEAR'S FORECAST.

BY

THAT

PARTICULARLY WAS

THE CASE BECAUSE OF THE

ON MOU RESERVES PROGRAMME, WHICH REFERRED TO THE LEVEL OF

THE ON

THIS AIRPORT CORB JUNE 30, 1997.

"BUT FOR THIS YEAR'S BUDGET, I SIMPLY REVERTED TO THE NORMAL MRF PERIOD, WHICH LOOKS FOUR YEARS AHEAD.

HE REMINDED MEMBERS THE MRF WAS JUST WHAT ITS NAME IMPLIED.

COURSE,

BE

BUDGETARY DECISIONS AFTER JUNE 30, 1997 WILL, OF FOR THE HONG KONG SPECIAL ADMINISTRATIVE REGION (SAR) GOVERNMENT, WITH THE APPROVAL OF THE SAR LEGISLATIVE COUNCIL.

COMMITMENTS

**AS YOU KNOW, THE BUDGET AND OUR FORMAL FINANCIAL HAVE TO BE TAKEN ON A YEAR-BY-YEAR BASIS AS A MATTER OF LAW.

THE FINANCIAL SECRETARY SAID THERE WERE SOME MEMBERS WHO URGED HIM TO BE MORE CAUTIOUS IN HIS SPENDING PLANS ESPECIALLY IN VIEW OF THE UNRESOLVED ISSUE OF THE ARRANGEMENTS.

AND THERE WERE THOSE WHO WERE SIMPLY FORECAST RESERVES WOULD NOT BE LARGE ENOUGH,

"I FIND THIS SITUATION SOMEWHAT IRONIC.

AND ASSUMPTIONS, 1994/95 ELECTION

CONCERNED THAT THE

"LAST YEAR, I WAS CRITICISED BY MANY MEMBERS FOR BEING тоо CAUTIOUS AND FOR AIMING FOR LARGER RESERVES THAN WERE REALLY NEEDED. THIS YEAR, SOME OF THE SAME PEOPLE HAVE CRITICISED ME FOR THE OPPOSITE REASON."

SOME

OF THOSE WHO CONSIDERED $71 BILLION FOR 1996/97 TO BE TOO LARGE, FORECAST OF $78 BILLION TO BE TOO SMALL.

LAST YEAR'S

FORECAST OF BELIEVE THIS YEAR'S HIGHER

"LAST YEAR, SOME MEMBERS USED SUCH HEADY PHRASES AS "A MOUNTAIN OF RESERVES HAS BEEN HOARDED FOR FUTURE YEARS", AND "THIS MONUMENTAL AMOUNT OF RESERVES". APPARENTLY, THE MOUNTAIN HAS NOW BECOME A MOLEHILL."

NONETHELESS, HE SAID HE ACCEPTED THERE WAS ROOM POR SERIOUS DISCUSSION OF WHAT CONSTITUTES AN ADEQUATE LEVEL OF RESERVES.

IT NECESSARILY INVOLVES A JUDGMENT IN THE LIGHT OF PRESENT AND FUTURE UNEXPECTED CIRCUMSTANCES.

/"HOWEVER, SOME