TNAG-1646-FCO40-2293-Chinese-investment-in-Hong-Kong-1987 — Page 39

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Table 3

Table 4

7.

Of the retained imports of capital goods

in 1986, industrial machinery was the largest component (accounting for 27% of the total value), followed by transport equipment (12%), electronic

components and parts for computers (7%), and office

machinery (6%). The patterns of retained imports of

capital goods in the fourth quarter of 1986 and in

1986 as a whole are shown in Table 3, while the

growth rates in money terms for the various components of capital goods are shown in Table 4.

Because of difficulties in compiling reliable price

indices as the product breakdown becomes more

disaggregated, growth rates in real terms are not

available for all the components. Caution should be

exercised in interpreting the figures for 1986 in

Table 4 as the increases in the prices of imported

capital goods have generally been high.

8.

(c) Retained imports of industrial

machinery for use in the manufacturing sector

Compared with the same quarters in 1985,

retained imports of industrial machinery for use in

the manufacturing sector grew in real terms by 35%

in the second quarter of 1986, and by 33% in both

the third and the fourth quarters (Table 2). For

1986 as a whole, the estimated growth rate in real

terms was 26%, after a decline of 4% in 1985. This

suggests that investment in plant and machinery by

the manufacturing sector revived significantly in

the second quarter of 1986. Within this category of

investment, textile machinery recorded the most

rapid increases, both in the fourth quarter of 1986

and in 1986 as a whole (Table 4).

G.F. 326

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