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The Government announced today (July 31) the financial results for the three months ended June 30, 2000.

Expenditure for the period April to June 2000 amounted to $52.6 billion and revenue to $37 billion, resulting in a deficit of $15.6 billion.

A Government spokesman said that a deficit in the initial months of a financial year was not unusual as many major types of revenue including taxes were mostly received towards the end of a financial year.

The fiscal reserves stood at $428.7 billion at June 30, 2000.

More detailed figures are shown in Tables 1 and 2.

TABLE 1.     CONSOLIDATED ACCOUNT

                                       Year to date

                      Month ended      April 1, 2000 to

                     June 30, 2000     June 30, 2000

                     -------------    -----------------

                     HK$ million        HK$ million



Revenue               8,254.4             37,049.1

Expenditure          (16,727.7)          (52,598.7)

                     -----------        ------------

Deficit              (8,473.3)          (15,549.6)

                     -----------        ------------

Financing

  Domestic

    Banking Sector    8,256.4             15,108.9

     (Note 1)

    Non-Bank Sector     216.9                440.7

  External               --                    --

                    -----------          ------------

Total                 8,473.3              15,549.6

                    -----------          ------------



Government Debt as at June 30, 2000 (Note 2) : NIL


Debts Guaranteed by Government as at June 30, 2000 

(Note 3) : HK$4,944.0 million



Notes :

1. Includes transactions with the Exchange Fund and resident banks.

2. The Government is debt free.

3. Guarantees provided under the Special Finance Scheme
 for Small and Medium Enterprises.





TABLE 2.     FISCAL RESERVES



                                        Year to date

                       Month ended      April 1, 2000 to

                      June 30, 2000     June 30, 2000

                      -------------     -----------------

                       HK$ million        HK$ million



Fiscal Reserves at 

 start of period         437,177.8         444,254.1

Add :

 Consolidated Deficit    (8,473.3)         (15,549.6)

                       ------------       ------------

Fiscal Reserves at       428,704.5          428,704.5

 end of period          ============       ============

End/Monday, July 31, 2000

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