ENG-1983 — Page 333

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HISTORY

About three quarters of a million people - mainly from Guangdong Province, Shanghai and other commercial centres - entered the territory during 1949 and the spring of 1950. By the end of 1950 the population was estimated to be 2.3 million. Since then it has continued to rise and now totals more than 5.3 million.

After a period of economic stagnation caused by the United Nations' embargo on trade with China, Hong Kong began to industrialise. No longer could the territory rely solely on its port to provide prosperity for its greatly increased population. From the start, the industrial revolution was based on cotton textiles, gradually adding woollens and, in the late 1960s, man-made fibres and made-up garments. Although the share of total exports held by textiles and clothing has declined over the past 10 years, clothing and textiles still make up more than 40 per cent of domestic exports by value. While textiles remain the mainstay of Hong Kong's economy, major contributions are made by electronic products, watches and clocks, plastic goods and other light industries.

Associated with events in China, 1966 saw mounting tension in Hong Kong which during 1967 developed into a series of civil disturbances affecting all aspects of life and temporarily paralysing the economy. But, by year-end, the disturbances were contained and the community continued its tradition of peaceful progress.

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In development of the post-war years, Hong Kong has continued to build up its role as an entrepôt with its neighbours and trade with China has been no exception. Coupled with tourism, this has led to vast improvements in communications with an increasing number of people entering China from or through Hong Kong, its natural gateway, each year. The territory's flag carrier Cathay Pacific and the Civil Aviation Administration of China operate scheduled and chartered flights between Hong Kong and cities in China; the Kowloon-Canton Railway runs jointly with the Guangzhou Railway Administration express 'through' trains between Kowloon and Guangzhou; a direct bus service - a British and Chinese joint venture. operates 10 different routes into Guangdong; and there are daily hoverferry services, as well as ferry services, to Guangzhou. The major transport event of 1983, further boosting land travel between Hong Kong and China, was the completion of the electrification of the railway from Kowloon to Lo Wu.

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To keep pace with the development and a policy of decentralisation, the government committed to improving the infrastructure and an estimated $7,600 million, about 21 per cent of expenditure, is being spent on public works projects during 1983-4. New roads, tunnels and flyovers have completely transformed road travel throughout the territory in the post-war era and modern, multi-lane highways are opening up many new areas.

The development of Hong Kong's economic base has enabled the government to increase spending on social services over the years - from $1,819 million in 1973-4 to an estimated $16,603 million in 1983-4.

Accommodation has always been a problem with a rapidly growing population and expenditure in this field has increased accordingly. More than 2.25 million people now live in some form of public housing managed by the Housing Authority. Throughout 1983, public housing flats were being constructed at an average rate of one every 7.5 minutes each 12-hour working day, every day of the year - and it is planned to continue providing about 35 000 flats a year under present conditions.

Expenditure on education facilities and improvements for Hong Kong's young and vibrant population has always been one of the major considerations in budget preparations and there are now junior secondary school places for every student up to the age of 15 years.