TNAG-1762-FCO40-2516-Economic-situation-in-Hong-Kong-1988 — Page 11

CONFIDENTIAL # 3

Introduction

3

This report provides an updated

assessment of capital investment in Hong

Kong, based on the data available up to the

end of the third quarter of 1988. It focuses

on investment in plant and machinery and in

property.

2.

Information in this report was

mainly supplied by the Census and Statistics Department, the Rating and Valuation

Department, the Buildings Ordinance Office, the Industry Department, and the Hong Kong Industrial Estates Corporation. For capital investment generally, statistics on gross domestic fixed capital formation are produced as part of the gross domestic product (GDP)

estimates. Only the annual data are

published. The quarterly estimates are intended for internal reference only and

should not be quoted publicly. Breakdowns

are available for plant and machinery and for

building and construction, in respect of both the public and the private sectors. These

estimates are, however, a quarter behind

time. On investment in plant and machinery, the statistics on retained imports of capital goods provide the most up-to-date

indicators. As there are no separate data on re-investment, on depreciation, or on the

scrapping of existing capital, all

information relates to capital investment in

G.F. 326

CONFIDENTIAL #