TNAG-1610-FCO40-22132-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1987 — Page 248

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MTRC will replace government guaranteed export credit debt

obligations due to mature within 2 years with market

borrowings without seeking government guarantees for such

instruments. The amount involved will be about

HK$1,500 million and the total value of government

guarantees for MTRC loans will thus be reduced by the same

amount. This will have a beneficial effect on the public

purse in that we will not have to provide for these

theoretical contingencies.

4.

As at 31 December 1986, the Government's total

guarantee commitment available to the Mass Transit Railway

Corporation stood at HK$6,100 million. All such

guarantees have been provided free of charge. If Members

approve this motion, the total sums guaranteed will be

reduced by about HK$1,500 million upon completion of the

above refinancing.

5.

Sir, I beg to move.