277
Subhead
Approved Estimate 1967-68
Revised Estimate 1967-68
Estimate
1968-69
Interest
$70,000,000
Lands not leased (permits for
encroachments, etc.)
7,957,000
$75,966,300
6,825,700
$68,377,000
6,080,000
Leased lands
7,940,000
Buildings and furniture
7,319,600
13,050,000
6,470,000
13,550,000
12,000,000
53,800,000
Low Cost Housing rents
Resettlement rents
14,374,000
9,600,000 50,000,000
8,250,000 50,000,000
The revised Interest estimate for 1967-68 exceeds the approved estimate. The additional interest results from higher yields on revenue balances and investments, credits receivable in previous years and additional charges on deferred payments of annual instalments of land premium. Lower interest earnings are expected partly because of the possibility of a fall in the present high interest rates and partly in consequence of the effect of sterling's devaluation on the Hong Kong dollar value of interest receivable in sterling.
The decreases in revenue both in 1967-68 and 1968-69 under Lands not leased (permits for encroachments, etc.) are due partly to cancellation of permits for quarries, etc. and partly because of anticipated difficulties in obtaining payments of permit fees.
Lower revenue under Leased lands is due to the current property market situation, and also because of the transfer from this Head of fees for salt water supply pipes, pump houses and deep bore wells. The drop in the revised estimate for 1967-68 under Buildings and furniture is mainly a result of over-estimation. More properties will come under the management of the Public Works Department in 1968-69 and revenue is expected to increase slightly.
Low cost housing rents are not expected to reach the approved estimate for 1967-68 because of the delay in completing the Ngau Tau Kok Estate. The estimate for 1968-69 is based on rents receivable from the existing 6 estates and the estates of Tsz Wan Shan, Wong Chuk Hang and Kwai Chung Area 9 which will be taken over during the year.
It is estimated that an additional 120,000 persons will be resettled during the year and this increase in the resettlement population plus a slight increase in rentals from the old Mark I and II blocks when re-wiring is carried out are the reasons for the higher estimate for 1968-69.
HEAD 12 - LAND SALES
Estimate 1968-69
Revised estimate 1967-68 Approved estimate 1967-68
Actual revenue 1966-67
$40,490,000
40,970,000
75,000,000
48,454,617
The revised estimate for 1967-68 is $34,030,000 lower than the approved figure. The present lack of interest in land and property is the main reason for the substantial drop in revenue, despite the inclusion under the subhead: "Premia on new leases-private treaty grants" of over $16 million from two parcels of land at Ping Shek Tsuen and Tsing Yi Island.
In the absence of any indications of a change in market conditions, the 1968-69 estimate approximates to the revised figure for 1967-68.
Head 83.
Estimate 1968-69 Revised estimate 1967-68
HEAD 13-WORLD REFUGEE YEAR GRANTS
$ 69,800
398,900
343,000
161,882
Approved estimate 1967-68
Actual revenue 1966-67
These receipts represent re-imbursements of expenditure on the projects set out in Expenditure
HEAD 14- CONTRIBUTIONS TOWARDS PROJECTS
Estimate 1968-69
Revised estimate 1967-68
Approved estimate 1967-68
Actual revenue 1966-67
$15,530,000
3,869,800
4,240,000
6,064,626
The receipts under this Head represent donations towards expenditure on the works listed.
COLONIAL DEVELOPMENT AND WELFARE GRANTS
Estimate 1968-69
13,300
Actual revenue 1966-67
365,648
Revised estimate 1967-68
Approved estimate 1967-68
The receipts under this Head represent the proportionate re-imbursement of expenditure on the schemes concerned. The grants are expected to be fully used up in 1967-68.
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