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Following is the transcript (English portion)of a media session chaired by the Chief Executive, Mr Tung Chee Hwa, at the Central Government Offices after visiting Shenzhen today (August 28):

Reporter: Is Hong Kong gaining at Shanghai's expense? As we look at things like CEPA (Closer Economic Partnership Arrangement) and now particularly the possibility of offshore renminbi banking.

Chief Executive: I don't think so. The country's economy is moving forward very rapidly. Shanghai is a very very important city for the whole of China. Yangtze River Delta, in which Shanghai obviously is the lead city, it's very important to the development of the whole country. And so is Hong Kong in the Pearl River Delta. We are doing our bit in making our own economy moving forward, in also obviously moving forward the economy of the whole country. And so is Shanghai in the Yangtze River Delta. It is not a zero-sum game. We are working together, moving forward together very well.

Reporter: You are saying that the Mainland Government, the Central Government, is fully supporting the building of the bridge. Did you discuss the details of how it should proceed? And did you ask the Central Government for more economic support to prop up Hong Kong's economy? And thirdly, what do you think about the GDP figures...?

Chief Excutive: The working group for this bridge is meeting tomorrow in Guangzhou. Hong Kong chairs this group and it is chaired by Sarah Liao, Secretary for the Environment, Transport and Works, and supported by two other colleagues. They have a meeting tomorrow in Guangzhou to take this bridge project forward, so probably you will hear a lot more tomorrow about this, rather than for me talking about it.

I think collaboration and support from the Central Government as regards to your second question is an ongoing issue. From time to time things will happen. Issues may arise. Let me say one thing. The Central Government is very supportive and we see this in so many different ways. At the end of the day, it is really still up to us in Hong Kong to really work at it. What we as a government have been doing is laying the foundation, whether it is CEPA, whether it is closer co-operation with Guangdong Province, with the Pearl River Delta moving forward, laying the foundation work to enable our private sector - each individual in Hong Kong really - to take up these opportunities to move forward Hong Kong's economy. Obviously, we as a government will do our part also.

Reporter: There's been a lot of concern recently about Mainland China... inflation and so on and yet you're here discussing an infrastructure project. Were there any signs that maybe there was a feeling of less enthusiasm from Central Government towards projects of this kind?

Chief Executive: Not at all. In fact the Deputy Prime Minister has spent time explaining to me the development of the Mainland economy and the enormous confidence... He has been telling me the economy is moving well and the growth rate is good. Obviously, like all other leaders, good leaders, the important thing is to look at what may arise that may become a sort of a danger point and it is important for all of us to do this. But on the whole he is positive about the Mainland economy, the development of the economy is going well and in so far as the infrastructure projects here are concerned, he is very supportive.

(Please also refer to the Chinese portion of the transcript.)

End/Thursday, August 28, 2003

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( Floor / Cantonese / Putonghua / English )