The Chief Executive, Mr Tung Chee Hwa, made the following statement on the Budget Speech delivered by the Financial Secretary today:

"While upholding the principles of a prudent fiscal policy, the SAR Government has proposed in the Budget a package of tax reductions. These measures are aimed at giving relief, to varying extents, to members of the public and businesses, as well as renewing Hong Kong's strengths. I believe they will receive support from all sectors.

"In the coming year, we will continue to make huge investments in infrastructural development, education and other areas to put in place the programmes announced in my Policy Address last year. These programmes will sharpen Hong Kong's competitiveness and sustain our economic growth.

"I believe the first Budget of the HKSAR will give relief to the public and lay a solid foundation for the development of our economy."