TNAG-0735-FCO40-939-Policy-objective-for-the-developing-of-Hong-Kong-in-the-1980-1978 — Page 15

a) Provide revenue to fund the public services,

b)

c)

d)

including the fields of activity referred to in

this Paper.

The fiscal system should continue to seek to

achieve (a) by measures which are equitable

through touching the lower income brackets as

lightly as possible, and which are conducive

to the economic and financial health and growth

of the Colony, and to maintenance of confidence

in it.

If revenue proves insufficient to implement

Government programmes and other commitments,

the alternatives of increasing taxation, borrowing,

drawing on reserves or reducing proposed

expenditure would be considered in the light of

all the domestic and external considerations at

the time.

Keep under review the relationship between the

Government and the banks as Hong Kong evolves as

a financial centre; and draw together all the

central banking functions of the Government,

including control and management of all the

Government's financial assets, under the

Secretary for Monetary Affairs, subject to

the direction of the Financial Secretary.

CONFIDENTIAL