TNAG-1607-FCO40-22122-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1987 — Page 14

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businesses and to encourage industrial innovation. I am

afraid the Government cannot accept such a highly interventionist

measure. As the Financial Secretary made it clear in his

reply in this Council on a similar subject on 22 January

1986,

there is no good reason for Government involvement

new form of venture banking that would require the

Government to compete with the private sector, particularly

as the banks appear to be more prepared to provide industrial

loans. There are other and more appropriate ways of encouraging

industrial development.

23.

Mr Clydesdale asked whether the Industry Development

Board should not draw its membership by direct representation

of the major trade and industrial organisations. The short

answer is that the Board is not so constituted. Its present

composition is selected from as wide and representative

a range of interests as possible, including manufacturing,

the academic world, banking and this Council. Indeed,

the interests of all our major trade and industrial organisations

are represented on the IDB and members are encouraged to

canvass the views of the organisations to which they belong

whenever an item comes up for discussion unless the subject

is confidential.

24.

Mr Ngai and Mr Lai proposesd the setting up of

a product research and technology development centre. I

think we must bear in mind the limited resources that are

/available