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2013 Policy Address by Chief Executive (1) (with photo/videos)
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     Following is the full text of the 2013 Policy Address - Seek Change, Maintain Stability, Serve the People with Pragmatism - by the Chief Executive, Mr C Y Leung, in the Legislative Council today (January 16):

Mr President, Honourable Members and fellow citizens,

I. Introduction

Vision

1. Hong Kong people are hardworking, tenacious and earnest.  We have an enterprising, dedicated and law-abiding spirit.  Our civil service is outstanding, efficient and clean.  We have an independent judicial system, and excellent law and order.  As well as sophisticated transport systems and telecommunications networks, we are also endowed with close and extensive connections with the Mainland and abroad.  These are the distinct advantages of Hong Kong.

2. The broader environment in which we operate is also highly favourable.  We have strong backing from our country for our development.  The Asia-Pacific region outpaces the West in terms of economic growth.  The rapid growth of the Mainland and its reform and opening up will continue to bring new opportunities.

3. As long as we can capitalise on these advantages and opportunities, Hong Kong will go from strength to strength.  As long as we keep focused on development, avoid feuds and strive for results, Hong Kong will be able to sustain its economic growth.  As long as we have a proactive government and well-planned industrial policies, people from different backgrounds will have the opportunities to realise their potential, and young people will be able to put their learning to good use.  With sustained economic growth, we will be able to properly address our housing, poverty, ageing population and environmental problems.

4. With the wisdom and the will to make the right choices and decisions, and comprehensive and long-term planning for land use, we can provide a better living and working environment for the people of Hong Kong.  New business ventures and expansion will no longer be constrained by cost for premises.  If we are all willing to go the extra mile, we can make Hong Kong a more liveable city with lush countryside, fresh air and a clean environment.

5. As long as the housing shortage persists, we have no alternative but to restrict external demand and curb speculative activities.  Similarly, for other areas prone to shortages, I will put Hong Kong people first.

6. To develop a knowledge-based society, I will take practical steps to provide free and high-quality kindergarten education and enhance primary and secondary education so that our young people have a variety of quality study pathways with multiple entry and exit points.  We will also promote lifelong learning to further raise the quality and competitiveness of Hong Kong people.

7. The measures we adopt to attract or restrict people from other places to reside in Hong Kong must be determined with regard to the overall interests and needs of the community at large.  We must carefully deal with the impact that some 200 000 babies born to non-local parents may have on Hong Kong.

8. Hong Kong culture is a unique fusion of Chinese and western influences.  We will strive to promote our arts and cultural development and related industries with local colour to enrich our lives and raise our city's profile in the Mainland and abroad.

9. We will uphold our core values, implement "One Country, Two Systems" in accordance with the Basic Law, and properly manage the relationship between Hong Kong and the Mainland.

10. Hong Kong has reunified with our motherland.  Under the principle of "One Country, Two Systems", Hong Kong people administer Hong Kong with a high degree of autonomy.  As a Special Administrative Region of our country, we receive strong and steadfast support from our country.  Capitalising on the advantages of "One Country, Two Systems", we have not only opened up the vast Mainland market as our economic hinterland, but also enhanced Hong Kong's status as an international hub of financial services, trade and shipping.  We have made gradual and orderly progress in our democratic development in accordance with the Basic Law and relevant decisions of the Standing Committee of the National People's Congress (NPC).  Therefore, upholding the sovereignty of our country and the authority of the Basic Law is in the overall and long-term interests of Hong Kong.  It is also the responsibility of every Hong Kong citizen.

Underlying Considerations

11. This Policy Address presents the annual work plan of the Government.  It also sets out our long-term blueprint and objectives for Hong Kong.  In drawing up and implementing this blueprint, I have taken into account the following four factors.  First, the deep-seated problems of Hong Kong cannot be solved overnight.  But we need to grasp the nettle and take the first step to deal with them.  Second, we must act proactively to address the concerns of the people promptly.  I have already rolled out an array of major policies over the past six months instead of withholding them for the Policy Address.  Third, the Government is determined to deliver results.  But we must act with one heart and one vision to tackle these problems.  Fourth, some decisions which are fiscal-related will be announced by the Financial Secretary in the Budget.

A People-oriented Government

12. The number of people aged 65 or above in Hong Kong will surge from 940 000 to 2 560 000 within 30 years.  An ageing society will pose challenges to our economic and social development and put new demands on public services and public finance.

13. Given our limited land resources, the Government must take into account capacity issues when formulating population and other related policies.  The Government serves Hong Kong people and our objective is to safeguard their interests first and foremost.  We must manage immigration properly to avoid negative impacts on our livelihood; accord priority to developing the potentials of Hong Kong people; and provide more opportunities for young people, women and the elderly to join the workforce to enhance our productivity.  Our objective is to make the best use of our local talent pool and, when necessary, take in immigrants to make up any shortfall.  For new arrivals who settle in Hong Kong, regardless of their ethnicity, Hong Kong is their home.  We must help them integrate into our community.

14. Babies born to non-local parents will add pressure to our medical, education and other services.  The policy of no delivery bookings of pregnant Mainland women whose husbands are not Hong Kong residents has borne fruit.  Cases of non-local women in labour gate-crashing hospital emergency wards have come under control.  Last month there were just 19 such cases.  I have decided to maintain the "zero delivery quota" policy for expectant Mainland mothers whose husbands are not Hong Kong residents.  At the same time, the Government will seek to tackle the root of the problem by legal means.

Addressing People's Pressing Needs

15. My team and I have taken expeditious actions to address the most pressing needs of the community.  Over the past six months, we have dealt with, and made plans to solve, problems related to economic development, housing, poverty and people's livelihood.

16. On the economy, I have set up preparatory task forces for the establishment of the Economic Development Commission (EDC) and Financial Services Development Council (FSDC) to identify areas for Hong Kong's further development.

17. In light of the public's grave concern over housing, the Government has introduced a series of short to medium-term measures, including introducing a Buyer's Stamp Duty and increasing the Special Stamp Duty rate, advocating "Hong Kong property for Hong Kong people", increasing land supply, allowing applicants with White Form status to purchase Home Ownership Scheme flats with unpaid premium, and building youth hostels.  The new Long Term Housing Strategy Steering Committee has started to explore and formulate the long-term housing strategy.

18. With regard to people's livelihood, we have re-established the Commission on Poverty.  We have also undertaken a variety of initiatives, including introducing ahead of schedule a standard concessionary fare of $2 for the elderly and eligible people with disabilities to travel on buses.  We have enhanced the Work Incentive Transport Subsidy Scheme.  We have also increased the subsidy under the Elderly Health Care Voucher programme.  The new Old Age Living Allowance scheme will be implemented.  We have launched the Universal Accessibility Programme to retrofit lifts to footbridges in various districts.  We have earmarked $200 million for improving several thousand hawker stalls across Hong Kong.  We will also set up a new outdoor bazaar in Tin Shui Wai.  These examples demonstrate the determination of the current-term Government, with the support of our civil servants, to meet public aspirations as promptly as possible.

(To be continued)

Ends/Wednesday, January 16, 2013
Issued at HKT 11:13

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