TNAG-2307-FCO40-3343-UK-inward-investment-in-Hong-Kong-1991 — Page 52

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CHAPTER 9 TRENDS OF OVERSEAS INVESTMENT

Data Sources

9.1

9.2

9.3

9.4

9.5

9.6

The level of overseas investment in Hong Kong's manufacturing industries was first surveyed in 1969, by the then Commerce and Industry Department. Similar surveys were conducted in 1970, 1975, and 1981, but the findings of these surveys were not published.

conduct

sources,

a

and distribution of

Overseas investment in Hong Kong's manufacturing industries increased significantly in the early 1980s, generating in turn a demand for the publication of detailed information on a regular basis. Accordingly the Industry Department decided in 1984 to comprehensive annual survey to identify the value, overseas investment in Hong Kong's industries, and to publish the results in a survey The first regular survey was made in September 1984 and The second survey survey report published in February 1985. was made in summer 1986 and since then surveys have been conducted each summer

The 1990 survey and reports published each November. report is the sixth in the series.

manufacturing

report. the

overseas

Department's

On the basis of these surveys it is possible to indicate overseas investment trends since 1969, though the

the given values for investment must be treated with caution.

In every survey conducted by the Industry Department since 1984, a small number of known

investors have withheld information from the Also, as the Department.

coverage of overseas investment has improved, recent surveys

have identified some investments which should have shown

up in earlier Finally, Chinese investment in Hong Kong's manufacturing industries has only been surveyed since 1985 and was probably at a significant level for two or three years earlier. All figures for

overseas

surveys.

а

given year therefore, and the latest overseas investment figures derived in the 1990 Survey are no exception, are lower than the true value of overseas investment in that year. The earlier the figures, the less accurate they are likely to be. Nevertheless, when compared as a series, they enable broad trends in overseas investment to be identified. (Table 56 and Table 57)

Investment Trends of Major Overseas Investors

Total investment (at original cost) by overseas investors in Hong Kong's manufacturing industries increased from $26,172 million in December 1988 to $29,734 million in December 1989, an increase of 14%.

overseas

The United States of America remained the largest

American investment increased from $8,907 million in 1988 by 4% to $9,290 million in 1989.

investor.

Although Japan remained the second largest investor, the value of

investment increased from $6,965 Japanese

million in 1988 to $8,642 million in 1989, an increase of 24%. Japan accounted for 47% of total overseas investment made in Hong Kong's manufacturing industries in 1989.