SECRET
entrepreneurial energy and preserved the Colony's attraction to investors, both Chinese and foreign. Consequently, although there is considerable appreciation of the need for improvements in social welfare and working conditions, there is anxiety lest these make such demands on the economy that taxes and costs will rise to a point at which the Colony ceases to be attractive to investors or competitive in the world markets.
3. The past and present internal policies of the colonial Government must be viewed against this economic and sociological background and in the historical context of post-war Hong Kong. The administration reinstated after the Second World War faced a society in ruins. It has since had to grapple, in effect, with a permanent emergency situation (caused by vast and irregular flows of immigrants and a high birth rate). Doubtless the willingness of the population to endure what to Western eyes appear harsh conditions is a major contributory factor in Hong Kong's stability and growth: there has been little or no "reverse-immigration" back to China; virtually no popular move in the Colony for its reincorporation in China; and very little industrial unrest. But the commitment of successive Governors to the well-being of the inhabitants and the efficiency and determination of Hong Kong officials is often overlooked by critics failing to appreciate the scale of the problems to be faced. Despite these, since 1954 the Government has housed 1.95 million of the population in subsidized public housing and introduced virtually free medical services. In the field of education it has introduced free universal primary education with plans rapidly to expand secondary education, to increase the number of technical
institutes from 1 in 1973 to 5 in 1979 and to increase the full-time places in higher education from 7,860 in 1974 to about 22,500 in 1980. The Police Force has been increased by over 30% since the beginning of 1973 and its organisation and relations with the public have been radically improved. There has also been notable progress in the Hong Kong Government's fight against corruption and crime. Finally, in an overcrowded territory the Government has successfully launched many ambitious plans to improve communications, amenities and recreation facilities for the general public. Fuller details of these plans are given in Annex D. What follows is an attempt to isolate such aspects of these plans about which we have doubts and to consider whether the fiscal and legislative arrangements of the Colony are adequate.
•
SECRET
No comments yet.
Private notes are available after approval.