TNAG-1646-FCO40-2293-Chinese-investment-in-Hong-Kong-1987 — Page 16

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momentum achieved in the fourth quarter of 1986 has continued into the first quarter of 1987. The growth was particularly significant in the case of industrial machinery for use in the manufacturing sector. In terms of the total usable floor area

for which consent to commence work was given, planned developments of all property, except that for commercial use, declined in the first quarter of 1987 compared with the same quarter in 1986. The decline was particularly sharp for industrial property. Quarterly figures on building consents are, however, subject to considerable short-term variations. Putting the figures into perspective, planned developments of all types of property recorded increases in the year ending March 1987 over the year ending March 1986. The demand for most types of property in the first quarter of 1987 remained generally firm, and the property market

continued to be active.

Investment in plant and machinery

4.

(a) Capital expenditure on plant and

machinery

Figures for the first quarter of 1987 from the quarterly GDP series (because of data limitations quarterly estimates of GDP are produced

for internal reference only) are not yet

available. The estimates for the previous quarters

have been revised. Overall capital expenditure on plant and machinery (including retained imports and local production) grew by 11% and 27% respectively in real terms in the third and fourth quarters of

1986 over the same quarters in 1985 (the earlier

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