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The Chief Executive, Mr Tung Chee Hwa, today (Friday) welcomes the vote of confidence cast by the international business community on the strengths of Hong Kong in developing into an innovation and technology centre.

Mr Tung was pleased to note the plans announced by seven technology-based companies with international operations to expand operation in or renew their commitment to Hong Kong. The seven companies are 3M, H&Q Asia Pacific, Motorola, Nortel Networks, STAR TV, Sybase and VTech.

Mr Tung met their representatives this afternoon to learn more about their plans and to exchange views on how Hong Kong should move forward in the areas of innovation and technology.

The Chief Executive said that he was encouraged by their positive move. Mr Tung said, "We will continue to strengthen our technological infrastructure, build up a critical mass of fine scientists, engineers, skilled technicians and venture capitalists, and encourage the development of a significant cluster of technology-based businesses."

"We will also seek to help our traditional industries to upgrade their products and services through innovation and technology application.

"We shall continue to join forces with the international business community in developing Hong Kong into a knowledge-based city. This is an important step forward in realising our long-term vision in developing Hong Kong into an innovation and technology centre," he said.

In 1997, Mr Tung announced the establishment of a Commission on Innovation and Technology to look into the measures necessary to promote innovation and technology in Hong Kong so as to increase the competitiveness of its manufacturing and service industries and to spur the development of new economic activities.

The main recommendations made by the Commission were accepted by the Chief Executive in his 1998 Policy Address.

"Our aim is to create a favourable environment for industry and business, in which we hope the private sector will capitalise on the opportunities which we seek to create. The new commitments made by the seven companies show that our efforts are starting to yield results," Mr Tung said.

Joining the companies' representatives at the meeting with the Chief Executive was Professor Chang-Lin Tien, Chairman of the Commission on Innovation and Technology. Mr Tung expressed appreciation for the efforts and contributions made by Professor Tien in leading the work of the Commission.

End/Friday, February 26, 1999

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