TNAG-1951-FCO40-2779-British-capital-investment-in-Hong-Kong-1989 — Page 85

G.F. 326

CONFIDENTIAL #

16.

Preliminary information shows that while

private sector expenditure on building and

construction in the third quarter grew by about 2%

over a year earlier, the corresponding public sector expenditure was about 11% higher. Taken together,

overall expenditure on building and construction

recorded an increase of about 5% in the third

quarter. Analysed by components, major private sector building projects in progress during the third

quarter included the office and commercial

development in Ice House Street, the Hang Seng Bank New Headquarters Building, and the residential

developments at Greenfield Garden and Sun Tuen Mun

Centre. Major private sector civil engineering

projects in progress included Kwai Chung Container

Terminals 4 and 7, and the Tate's Cairn Tunnel.

Major public sector projects in progress included new

estates in the public housing programme, the Junk Bay

Tunnel, the New Territories Circular Road

improvement, the Pamela Youde Hospital, and the Hong

Kong University of Science and Technology. Taking

the first three quarters of 1989 as a whole, the

share in overall building and construction

expenditure attributable to the private sector was

64%, compared with 66% in 1988.

17.

(c) Supply of new property

in the private sector

Caution should be exercised in interpreting

the quarterly figures on building completions, as

they are subject to fairly wide fluctuations (the

same applies to the quarterly figures on building consents). Figures covering a longer period, say

several quarters, are more meaningful for analysis.

CONFIDENTIAL #