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The following is the text of a speech by the Financial Secretary, Mr Donald Tsang, at the opening session of "The Servicing Economy - Quad Forum 2000" today (November 2):
Stanley (Ko), Professor (Ian) Davies, ladies and gentlemen,
This is the forum which I look forward to every year, particularly when we started having Legislative Councillors in this forum a year ago.
I think this is an excellent forum for us to interchange views not only with bureaucrats who might not enjoy too much, but also with academics and most of all, with businessmen. And it of course gives me enormous pleasure to welcome you all to this Quad Forum 2000. I am also delighted to see so many familiar faces here--our economists and in particular iconoclasts of Hong Kong systems--altogether this morning, and I notice there are a number of newcomers as well taking part in this event for the first time. I welcome you to the forum.
It is a day when we can satisfy our appetite for frank and provocative ideas on how to advance Hong Kong in the competitive environment of the New Economy.
I remember when the first Forum was held in January 1998 we began to feel the chill of the Asian financial turmoil. After three years and a devastating recession, our economy has rebounded with GDP growth in the first half of the year at 12-and-a-half per cent. The export of goods and services has increased remarkably. And we continue to see significant growth in tourist arrivals. So, we seem to be returning to a period of solid economic growth. But we have learned to be prepared always for the unexpected.
As we come out from the Asian financial crisis, we are faced with a new and equally daunting challenge - the New Economy. As prosperity returns on this occasion, the previous catch- phrase "business as usual" seems out of place. It is giving way to a new set of circumstances. World trade in goods and services have become more liberal. New and fascinating opportunities open up as China enters the World Trade Organisation. International commercial landscape changes fast and becomes deadly competitive. We all, businesses, governments, academia, legislatures, have to adjust, sometimes to adjust painfully. The world has moved on. We need to move on with it.
It is opportune, therefore, that we gather here today to share views and ideas on how to meet these challenges. How can we make the most out of our close ties with the Mainland and in particular the Pearl River Delta? What should we do to further refine our competitive edge? How should we market ourselves in the new economy? What role and functions should the government undertake or give up, in order to enhance efficiency and competitiveness? How should we draw the balance between maintaining a free market with fair competition and providing some support for business, in particular the SMEs? These are the fundamental issues confronting Hong Kong today. I am very happy to see that you will have brainstorming sessions on them all today.
While precise solutions may prove elusive, discussion and debate in a forum such as this are invaluable. It draws leaders from the private and public sectors, from academia and politics, and evolves a common understanding in approaching the challenges more effectively. Let me assure you, your ideas and your suggestions will not only be food for thought : they will be food for action. I look to you for ideas that we can act on in the best interests of Hong Kong.
Before getting down to business, I want to thank the Hong Kong Coalition of Service Industries and the University of Hong Kong for co-organising this forum with us. We value our partnership with the private sector and the Legislature. With your participation here, I am sure there will be a very lively and productive discussion this morning. I look forward to joining you again at the dinner session this evening.
Thank you very much. Thank you for coming.
End/Thursday, November 2, 2000
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