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    Following is a speech by the Chief Executive, Mr Donald Tsang, at the launch ceremony of Hong Kong Express Airways at Conrad Hotel, Admiralty, this evening (August 3):

Dr [Stanley] Ho, distinguished guests, ladies and gentlemen,

    It is a great pleasure to join you this evening to celebrate the launch of Hong Kong Express - a new Hong Kong-based airline that will provide multiple daily services between Hong Kong and various cities in the Mainland.

    We all know that running an airline is a very capital-intensive undertaking. So, the launch of this new airline is a great vote of confidence in the future of our economy, and in the status of Hong Kong as a regional and international aviation hub.

    Hong Kong's aviation policy encourages the entry of new players. Our highly regarded Hong Kong International Airport provides "best in the world" support for the efficient operation of airlines.

    Today, Hong Kong Express adds a new element to the business of aviation in Hong Kong. By operating a fleet of small, 76-seat aircraft, Hong Kong Express is extremely well placed to operate economically viable and high frequency services to all its destinations, particularly those not well served by the larger carriers. The strategy to focus on mainland destinations will further strengthen Hong Kong's ability to provide seamless connections to our comprehensive international network. This in turn will strengthen our position as one of the most efficient gateways to the Mainland.

    With strong economic growth and increasing travel demand, the Mainland is widely recognised as the dominant source of global air traffic growth over the next decade. As the Mainland continues to liberalise its aviation market, the Hong Kong - Mainland market has tremendous potential to provide significant opportunities for all Hong Kong-based airlines. I am sure that Hong Kong Express shares this view. More diversified services, more frequent flights and more convenience for travellers will undoubtedly enhance the very strong business ties between Hong Kong and the Mainland. Together with CEPA, Pan-PRD co-operation etc., these services reinforce Hong Kong's unrivalled position as the modern and leading gateway to the Mainland.

    The launching of Hong Kong Express will bring new jobs to Hong Kong.  Newly created jobs range from positions in management, flight crew, maintenance staff to cabin attendants and cleaners. These jobs will broaden employment opportunities for Hong Kong people, and help to consolidate the recovery of our job market.

    Ladies and gentlemen, all that remains for me now is to wish Hong Kong Express all the best for a flying start in the aviation business. I certainly hope that you soar to new heights in the years ahead and, like Hong Kong, you continue to grow and prosper. Congratulations and happy flying!

    Thank you.

Ends/Wednesday, August 3, 2005

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