************************************

Following is the transcript of the media session given by the Information Coordinator, Mr Stephen Lam, in Beijing today (March 5) :

IC : During the course of today the Chief Executive attended the opening of the National People's Congress. He also had meetings with the National Tourism Administration, with the Beijing Municipal Government and also with the Trade Ministry. In the context of these meetings, we have reviewed progress with the various Central Government officials. For example, with Trade Minister Shi, both sides regard the initial exploration and discussions concerning the possibility of concluding a closer economic partnership arrangement between Hong Kong and the Mainland have had a useful start. We believe that we should continue to explore this arrangement and start with the issues which are relatively easier to resolve, and move on to the more difficult agenda items later. In terms of tourism from the Mainland, ever since the organisers of tours to Hong Kong have been extended from a number of four travel agencies in the Mainland to 67, we have had immediate results. Also I have noticed from today's briefing by the Hong Kong Tourism Board, Mainland visitors continue to be the largest source of visitors from outside of Hong Kong. Last year there were 4.4 million visitors from the Mainland and they forecast that visitors from the Mainland and from the rest of the world will continue to increase. Finally, we also had a useful meeting with officials from the Beijing Municipal Government. Much of the time was spent talking about arrangements for the 2008 Olympics. The Beijing Municipal Government will warmly welcome participation by Hong Kong professionals and Hong Kong companies in the work and the infrastructure building relating to the Olympics.

Note : Please also refer to the Chinese transcript.

End/Tuesday, March 5, 2002

NNNN