TNAG-1766-FCO40-2520-Hong-Kong-Budget-Appropriation-Ordinance-1988-(No.-23-of-198-1988 — Page 59

56.

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Consolidated Account spending on capital programmes, including the Kowloon Walled City clearance, is forecast to be

$16.9 billion an increase of about 19% on the previous year in

cash terms. Major new projects to start in the year include

several highway developments in both the New Territories and

urban areas and land formation contracts in respect of the Tin Shui Wai development. Again, a fuller list is given in an

Appendix (24).

57.

As regards the composition of the expenditure

estimates, I have already referred to the tendency in recent

years for a higher proportion of our total resources to be

devoted to social services. In this respect, 1988-89 will be no

exception. In particular, we plan to spend on medical services $6.1 billion on Consolidated Account, thus increasing the share

from 9.4% in the current year to 9.7% as we service some of the

major new facilities coming on stream. And on social welfare

services total spending is estimated at $3.9 billion, an

increase in the share from 5.7% in 1987-88 to 6.3%. This is

partly due to the improvements in welfare benefits for the elderly and for the disabled who require constant attendance, but also is a result of the expansion of various welfare services. Furthermore, we should not lose sight of the impact of past budgets. The cumulative real increase in spending on

medical and social welfare services since 1983-84 will be 46%

and 45% respectively.

(24) Appendix E.

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