TNAG-1725-FCO40-2438-Minutes-and-Hansards-of-the-Legislative-Council-of-Hong-Kong-1988 — Page 64

Consolidated Cash Flow

Appendix A-Conta

Table

--shows the extent to which the capital financing deficit is covered by the operating surplus and the combine cash flow impact on Government's total reserves.

Revised Estimate

Forecast

1987-88

1988-89

1989-90

1990-91

1991-92

Smn

$mp

Smn

Smn

Smn

Capital financing (deficit)

(5,000)

(5,180)

(10,890)

(8,980)

(8,310)

Operating surplus before budget revenue measures

12,570

12,520

14,480

14,830

15,410

Consolidated cash surplus/(deficit) before budget revenue measures Less: Impact of budget revenue measures*

7,570

7,340

3,590

5,850

7,100

(1,880)

(3,260)

(3,820)

(4,480)

Consolidated cash surplus/(deficit) after budget revenue measures

7,570

5,460

330

2,030

2,620

Reserve balances at 1 April

32,940

40,510

45,970

46,300

48,330

Reserve balances at 31 March

40,510

45,970

46,300

48,330

50,950

!

* Including impact on interest on balances.

11 These tables relate to Government's overall finances. They provide no breakdown of the details betwee General Revenue Account and the various funds through which, for operational reasons, the Governmen controls its finances.

12 The significant increase in capital spending in 1989-90 and 1990-91 shown in these forecasts is due exceptionally, to repayment of the 1984 bond issue and further injections of equity into Mass Transit Railwa Corporation (MTRC). The latter amounts to $2.5 billion and may not be needed if MTRC finances continu their recent improvement.

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