TNAG-2749-FCO40-3964-Economic-situation-in-Hong-Kong-1993 — Page 106

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

Reference.

landing for the economy as a whole even though investment growth will fall quite markedly in 1994. Although this is quite good news, inflation will persist and not be cut down to single digit figures this year or next and the trade balance may continue to deteriorate.

18. The central scenario is one of continued fairly strong growth in the coastal provinces meaning that Hong Kong is only lightly affected by the slowdown in terms of both outward processing trade, own exports and adverse confidence factors. The strength of the Hong Kong stock market, though an imperfect indicator, does also support this conclusion.

Chatoph

L

Christopher Lane

Economic Advisers

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