TNAG-2292-FCO40-3304-Official-visits-from-Hong-Kong-to-China-1991 — Page 10

CONFIDENTIAL

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(13)

(14)

(15)

first half of 1991, both customer deposits with and

extended by PRC banks in Hong Kong

domestic loans

increased

more rapidly than the overall growth rates for all licensed banks in Hong Kong (paragraph 33).

Hong Kong remained the largest source of external

investment in China. It seemed that most recently

the investment interest of Hong Kong companies in

China had become more balanced, in terms of both the

nature and location of investment (paragraph 34). Reciprocally, the activities of well-established

PRC-interest companies in Hong Kong had staged a

strong recovery since the beginning of 1991

(paragraphs 36 and 37).

to

over

the

The recovery of China's economy had not contributed

much to the increase in Hong Kong's exports of

consumer goods

China, due to the tight controls imposed by the Chinese government importation of consumer goods. The growth of Hong

Kong's exports to China in the second half of 1991

would be supported mainly by outward processing trade, and by re-exports of raw materials and capital goods to China for its own use (paragraph 37).

from China, though

The retail prices of goods

increasing at a faster rate in the second quarter than in the first quarter of 1991, continued to help dampening the overall rate of inflation in Hong Kong

(paragraph 39).

GF 323

CONFIDENTIAL

機密

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