XN000022-1994-07-06 — Page 12

WEDNESDAY, JULY 6, 1994

+

GOVT DETERMINED TO FOLLOW UP TASK FORCE RECOMMENDATIONS

* * *

VIGOROUSLY THE

THE ADMINISTRATION IS DETERMINED TO FOLLOW UP RECOMMENDATIONS OF THE TASK FORCE, TO CONTINUE TO MONITOR THE PROPERTY MARKET AND ENSURE FAIR COMPETITION AND STABILITY.

AND

DEBATE ON

THIS WAS STATED BY THE SECRETARY FOR PLANNING, ENVIRONMENT LANDS, MR TONY EASON, DURING A LEGISLATIVE COUNCIL MOTION SPECULATION ON REAL ESTATE PROPERTY LAST NIGHT (WEDNESDAY).

HE SAID THE GOVERNMENT WOULD KEEP AN OPEN MIND ON MIGHT NEED TO BE DONE TO FURTHER THESE OBJECTIVES,

WHAT MORE

SUPPORT MR

EASON SAID HE WAS PLEASED TO SAY THERE WAS GENERAL

TOWARDS DAMPENING FOR THE COMPREHENSIVE APPROACH OF THE TASK FORCE SPECULATION.

8, HE SAID SINCE THE PACKAGE OF MEASURES WAS ANNOUNCED ON JUNE

BETWEEN PRICES IN THE PRIMARY MARKET WERE REPORTED TO HAVE FALLEN BY 5-20 PER CENT.

THE

WATCHING FOR ANY MR BASON SAID THE ADMINISTRATION WOULD BE RESURGENCE OF EXCESSIVE SPECULATION OR UNSCRUPULOUS PRACTICES IN PROPERTY MARKET.

"AS

THINGS

IS

SUPPLY INCREASING NOW STAND, THE OUTLOOK FOR GOOD, REINFORCED BY THE RECENTLY ANNOUNCED AVAILABILITY OF SITES TO BE RELEASED BY THE MILITARY.

THE

IN

COMMENTING ON CRITICISM THAT THE TASK FORCE HAD INTERFERED FREE MARKET

PRINCIPLES AND

THE THREATENED

BASIC COMMERCIAL UNDERLYING HONG KONG'S ECONOMIC SUCCESS, MR EASON SAID SUCH CRITICISM REFLECTED A SUPERFICIAL UNDERSTANDING OF THE TRUE BASIS OF MARKET AND A MISUNDERSTANDING OF THE APPROACH OF THE TASK FORCE.

"A

MUST

BY OPEN FREE MARKET

BE UNDERPINNED COMPETITION; AND FREEDOM IS NOT THE SAME AS DISORDER.

THE FREE

AND

FAIR

SPECULATORS

AND

HE SAID: "THE TASK FORCE HAS PUT HOME-BUYERS, INVESTORS ON THE SAME LEVEL PLAYING FIELD BY REDUCING THE ADVANTAGE TO SOME BUYERS WHICH PRIVATE SALES OFFER.

WE "WHILE CONTINUING TO ALLOW A SMALL QUOTA FOR PRIVATE SALES,

NOT EXPLOITED BY HAVE ALSO SOUGHT TO ENSURE THAT THE PROVISION IS

RESTRICTION THOSE WHOSE AIM IS TO SPECULATE, TO CIRCUMVENT THE RESALE

THE USE OF ON UNCOMPLETED FLATS, OR TO SEEK TAX BENEFITS THROUGH LANDHOLDING COMPANIES.

It

AGAINST

ΤΟ

MR EASON ALSO DISMISSED CRITICISM THAT THE PROHIBITION RESALE OF FLATS BEFORE ASSIGNMENT WAS INTERFERING WITH THE FREEDOM DISPOSE OF ONE'S OWN PROPERTY.

"WHERE THE EXERCISE OF INDIVIDUAL FREEDOM CAUSES THE MARKET BEHAVE IRRATIONALLY, INTERVENTION IS JUSTIFIED, PARTICULARLY WHEN COMMUNITY BECOMES ALARMED AT EVENTS."

TO

THE

/MR EASON