Financial results for the eight months ended November 30, 2012
**********************************************************

     The Government announced today (December 31) its financial results for the eight months ended November 30, 2012.

     There was a surplus of HK$24.8 billion in the month of November, thereby reducing the deficit for the eight months ended November 30, 2012 to HK$11.7 billion. Expenditure for the period amounted to HK$251.9 billion and revenue HK$240.2 billion.

     A government spokesperson said that the improved financial results in November were mainly due to the collection of profits tax. The revised estimates for the current financial year will be published along with the 2013-14 Budget on February 27, 2013.

     The fiscal reserves stood at HK$657.4 billion as at November 30, 2012.

     More detailed figures are shown in Tables 1 and 2.

TABLE 1.   CONSOLIDATED ACCOUNT (Note 1)

                   Month ended     Eight months ended
                November 30, 2012   November 30, 2012
                -----------------  ------------------
                   HK$ million         HK$ million

Revenue              54,096.7           240,167.7
Expenditure         (29,331.4)         (251,896.2)
                -----------------  ------------------
Surplus/(Deficit)    24,765.3           (11,728.5)
                -----------------  ------------------

Financing
 Domestic
  Banking Sector    (24,839.6)           11,922.5
   (Note 2)
  Non-Banking Sector     74.3              (194.0)
 External                 -                   -
                -----------------  ------------------
Total               (24,765.3)           11,728.5
                -----------------  ------------------

Government Debts as at November 30, 2012 (Note 3)
  HK$11,187.5 million
Debts Guaranteed by Government as at November 30, 2012 (Note 4)
  HK$62,296.7 million

TABLE 2.   FISCAL RESERVES

                   Month ended     Eight months ended
                November 30, 2012   November 30, 2012
                -----------------  ------------------
                   HK$ million         HK$ million

Fiscal Reserves      632,594.8         669,088.6
at start of period

Consolidated          24,765.3         (11,728.5)
Surplus/(Deficit)----------------  ------------------

Fiscal Reserves      657,360.1         657,360.1
at end of period
                -----------------  ------------------

Notes:

1. This Account consolidates the General Revenue Account and the following eight funds: Capital Works Reserve Fund, Capital Investment Fund, Civil Service Pension Reserve Fund, Disaster Relief Fund, Innovation and Technology Fund, Land Fund, Loan Fund and Lotteries Fund.  It excludes the Bond Fund, the balance of which is not part of the fiscal reserves.  The Bond Fund balance as at November 30, 2012 is HK$69,063 million.

2. Includes transactions with the Exchange Fund and resident banks.

3. These are the outstanding institutional notes (including US$1.25 billion denominated in United States dollars) as at November 30, 2012, which will mature within the period from August 2014 to July 2019. The outstanding bonds of HK$67,000 million issued under the Government Bond Programme (with proceeds credited to the Bond Fund) are excluded. Of these bonds, HK$7,000 million will mature within the period from December 2012 to November 2013 and the rest within the period from December 2013 to August 2021.

4. Includes guarantees provided under the Special Finance Scheme for Small and Medium Enterprises launched in 1998, the SME Loan Guarantee Scheme launched in 2001, the Special Loan Guarantee Scheme launched in 2008, the Film Guarantee Fund and the commercial loan of the Ocean Park Corporation.

Ends/Monday, December 31, 2012
Issued at HKT 16:30

NNNN