ENG-1992 — Page 452

HISTORY

to an estimated 1.8 million. Then, in the period 1948-9, as the forces of the Chinese Nationalist Government began to face defeat in civil war at the hands of the communists, Hong Kong received an influx unparalleled in its history. Hundreds of thousands of people -- mainly from Kwangtung (Guangdong) Province, Shanghai and other commercial centres - entered the territory during 1949 and the spring of 1950. By mid-1950, the population was estimated to be 2.2 million. Since then it has continued to rise and now totals 5.9 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, these still make up around 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.

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. One of the territory's carriers, Dragonair, and three Chinese airlines, namely China Southern Airline, Air China and China Eastern Airlines, operate scheduled, and a considerable number of charter, services between Hong Kong and cities in China. Additionally, three other Chinese airlines, China Southwest Airlines and China Northern Airlines and China Northwest Airlines, operate only charter services between Hong Kong and destinations in China. The Kowloon-Canton Railway runs, jointly with Guangzhou's railway administra- tion, four daily 'through' trains in each direction between Kowloon and Guangzhou. A number of direct bus services operate different routes into Guangdong and other parts of southern China and there are daily ferry services to Guangzhou and other ports in South China, operating with dynamically supported craft as well as conventional ferries.

To keep pace with the development, strong emphasis is placed by the government on infrastructural improvements. The territory has been completely transformed into a modern city with efficient road and rail links, tunnels and flyovers, as well as multi-lane highways which have opened up many hitherto remote areas.

The development of Hong Kong's economic base has enabled the government to increase spending on education, housing, health and social welfare over the years - from $14,399 million in 1982–3 to an estimated $58,787 million in 1992–3.

Starting with emergency measures to house some 50 000 people made homeless in the Shek Kip Mei squatter fire in 1953, Hong Kong's public housing programme now provides rental and self-owned flats of an increasingly higher standard for nearly three million people.

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