Daily Information Bulletin
Issued by Hong Kong Special Administrative Region Government Information Services
Garden Road, 5th-8th Floors, Murray Building, Hong Kong. Tel: 2842 8777




Friday, January 23, 1998


CONTENTS
========
1.  Speech by CS at luncheon meeting in San Francisco
2.  Comprehensive plan to combat avian flu
3.  Update on avian flu
4.  Imported birds to be certified free of avian flu
5.  CE meets employee representatives
6.  LD to offer assistance to retrenched workers
7.  Government to introduce Senior Citizen Residence Scheme
8.  Thomson BankWatch's ratings recognised
9.  Science Park Planning Committee's recommendations accepted
10.  HKSAR/UK agreement on mutual legal assistance in criminal matters
11. Time limit for objections to draft plans
12. Revolving credit facility for HKMC
13. A busy final Chinese New Year for Kai Tak
14. Provisional statistics of retail sales for November 1997
15. Marine traffic arrangements for fireworks display
16. Kerb-markings for no-stopping zones
17. Logo design competition deadline extended
18. Ocean vessels and seaborne cargo statistics
19. Appointments to Advisory Committee on Travel Agents
20. Road traffic legislation gazetted
21. Board amends South West Kowloon OZP
22. TPB to review two OZPs for areas in Southern District
23. Works to improve fresh water supply systems
24. Red packets distributed to elderly singletons in Wan Chai
25. Hong Kong Monetary Authority tenders
26. January issue of HK Monthly Digest of Statistics on sale
27. Two post offices open on January 30



1.  Speech by CS at luncheon meeting in San Francisco
    *************************************************

     Following is a speech by the Chief Secretary for
Administration, Mrs Anson Chan, at the luncheon co-hosted
by the Commonwealth Club, World Affairs Council of
Northern California, Hong Kong Association of Northern
California and the Hong Kong Economic and Trade Office in
San Francisco, on Thursday (January 22, US time):

Mr Chairman, ladies and gentlemen,

     Thank you very much for that kind introduction.  I
must say that I am developing a certain "second home"
feeling about this platform, as this is the third time in
less than two years that I have been your guest speaker.
It also happens to be the last public speaking engagement
in a North American tour which began in Los Angeles just
under 2 weeks ago.  My mother once told me I should always
try to save the best for last.

     Mr Chairman, I last spoke at this forum some 12
months ago.  At that stage there was less than 150 days to
go before the Handover in Hong Kong, and the interest was
intense.  Was it going to work?  Would Hong Kong get
through unscathed?  Would the resumption of sovereignty by
China inevitably alter the fundamental nature of the
place? Those were of course very legitimate questions
which, despite the reassurances I and my colleagues gave
at the time, could only be answered by events.

     Well, I am glad to tell you that events have shown
that the reassurances I gave were indeed well-founded.  We
have come through the Handover in pretty much the same way
as it was before July 1.  We now have a local Chief
Executive in place of a British Governor.  But otherwise
the people in the Administration who were running Hong
Kong before the Handover continue to do so now, most of
them still in the same posts.

     That's what the Chinese leaders meant when they
talked about Hong Kong people running Hong Kong under the
concept of One Country Two Systems.  And there is no doubt
that the Beijing leadership since July 1 has been
scrupulous in honouring those commitments.  They have left
us completely alone to run our own affairs.  And, having
been in Beijing only two weeks ago myself, meeting with
Chinese leaders and officials, I am very comfortable about
their intentions to continue to do so.

     After nearly seven months as a Special Administrative
Region of the People's Republic of China the report card
reads: "So far, so good".

     More specifically, the rule of law is intact; the
judiciary continues to function as independently as ever;
political debate continues to be robust; we have
legislative elections coming up in May which will be
keenly and competitively fought; our press remains free
and reports and comments on issues relating not just to
the SAR, but to events on the Mainland, including those
relating to dissidents, Taiwan and Tibet.

     As for other pre-Handover concerns about civil
liberties and human rights, life goes on as usual.  Public
protests and demonstrations on all kinds of issues - from
democracy in China to complaints about public housing -
are staple diet for our body politic.  There have been
legal challenges to the provisional legislature and to
government decisions on child immigrants from the
Mainland, and on matters relating to the residual
Vietnamese population.  In short, life has gone on pretty
much as before.

     We have also had a very welcome and reassuring
decision announced from Beijing that China will arrange to
transmit on our behalf reports to the United Nations on
the application of the two international covenants on
civil and political and economic, social and cultural
rights in Hong Kong.  These reports will be compiled by
the SAR government and if necessary we will appear before
the monitoring bodies to answer questions.

     Of course, all of this is not to say that Hong Kong
has been problem free since the Handover.  Far from it.
We were swept up in the Asian currency and financial
turmoil; our tourist industry has been hit by a slump; the
bird 'flu scare caused great concern at home and abroad;
and there's been continuing criticism over the electoral
arrangements for next May.

     Let me deal briefly with these events.  Firstly, the
bird 'flu.

     I know that this issue has created attention here and
elsewhere.  Not surprising when you think of the worst
case scenario.  Mercifully that has not come to pass, but
it is worthwhile remembering precisely what it is that we
are dealing with.

     Firstly, it is not an epidemic.  There have been 18
cases, of which 6 were fatal.  The World Health
Organisation did not even classify it as an outbreak, but
rather as a cluster of cases.  Secondly, we could not
definitively establish that the 'flu was transmittable
from human to human.  Thirdly, in recognising the
potentially serious nature of the problem, our health
authorities were extremely vigilant, and quick to call in
the experts from the World Health Organisation and the
Centers for Disease Control and Prevention in Atlanta,
Georgia, to work alongside them in taking all the
necessary measures.  Some of these - like the culling of
our entire chicken population - were quite unpleasant, but
necessary.  These measures, along with co-operation with
the Mainland on chicken imports from China, stringent new
checks and controls on poultry imports, and an overhaul of
our own farm and market hygiene conditions, have been
taken to restore public confidence.  We believe we have
the situation under control.  And indeed no new cases have
been detected since we killed our entire chicken stock
late last year.

     Let me now turn to the economic situation, I think
the entire international community was taken by surprise
by the breadth and depth of the Asian economic meltdown.
But does this signal the beginning of the end and is Hong
Kong being carried down the plughole?

     I personally feel that the earlier "miracle"
headlines reflected perhaps undue exuberance on the part
of speech writers and analysts - and, to be fair, on the
part of political leaders too.  The troubles now being
faced are serious but they are not grounds for irrational
despondence.  What was happening in Asia was simply what
happened in Europe and America years ago, the
establishment of patterns of trade, of investment and
industrialisation that brought growing wealth to fuel
further development.  What has happened in the latter half
of 1997 demonstrated that where markets are not free,
where market regulation is poor, where special interest
gets protected, distortion of the market takes place and
growth cannot be sustained.  Financial practices built on
false assumptions have come unstuck.

     Sorting out the mess will be a painful process.  But,
just as Asian economies were able to benefit from the
technology and trade of America and Europe, and so
industrialise much faster than those who had only their
own trial and error to draw on, so too in the current
financial crisis.  Asian countries don't just have their
own experiences to draw on, but they have a wealth of
ideas and examples of what works around the world to draw
upon and help them sort things out.  And behind all the
financial problems of today remains the fact that most of
the Asian economies are rich in resources and human
capital, and the fact that slowly increasing wealth and
access to world markets among hundreds of millions of
people across Asia will remain a key component in world-
wide economic growth.

     So I don't see the new millennium as heralding the
end of Asia's economic hopes.  I don't underestimate the
difficulties that those whose finances are in difficulties
will have in getting restarted along the right tracks. But
I am quietly confident that the current crisis will act as
the catalyst for much needed reform of practices and
liberalisation of markets, and will accelerate the pace
towards them.  Openness and accountability of companies,
financial institutions and finance ministries; better
information about markets, allowing better monitoring by
regulators and stock holders; replacement of political
intervention with market disciplines - all these processes
will help to establish a more stable Asia of sustainable
prosperity in the next century.

     Where does Hong Kong stand in all this?  We stand in
the heart of it.  We are in Asia.  But we are Asia with a
difference.  The model of economic management that Hong
Kong represents is the one that more and more in Asia are
realising that they need to try to follow: a free market
under the rule of law; a Government that is clean and
believes in prudential supervision not directing the
economy; openness and accountability.  We have been
buffeted by the storms around us, but our system has shown
that it is built on firm foundations.  We are sticking
with it.

     Our stock market has been battered.  The Hang Seng
Index is currently about 7,000 points below its peak of
16,673 in August last year.  Our property market has
fallen back by about 30 per cent from its highest level in
October last year.  Overall economic growth will be lower
in 1998 than the 5.5 per cent we anticipate as the final
outcome for 1997, and while we expect to see a modest
recovery in domestic exports following substantial
investments and improvements in productivity recently,
overall our trade figures are unlikely to show the strong
percentage growth that we had become accustomed to in the
70's, 80's and early 90's.  Unemployment is likely to
increase from its present level of 2.5 per cent.

     But as currencies have tumbled around the region, the
1,600 billion Hong Kong dollars in the banking system have
not lost their value.  When fund managers burned in South
East Asia were desperate for cash, they could turn to Hong
Kong's market, which had assets of real value.  When New
York's stock exchange shut down, Hong Kong stayed open.
When pressure built up against our currency, everybody
learned the lesson that the parity between the Hong Kong
and the US dollar is not kept by an artificial peg,
susceptible to political pressure, but by a sensibly based
currency board system.  Under that system, all Hong Kong
dollars issued are backed by US dollar deposits, and an
automatic adjustment mechanism, driven by supply and
demand, not by central bank intervention, maintains the
balance.  We have no external debt and we have reserves
that are sufficient to back up our currency 7 times over.
Everyone has seen that the system works.  The Government
is not going to create uncertainty and risk undermining
public confidence by fiddling with it.  The link is here
to stay.

     The stability of the Hong Kong dollar since the
currency board was established in 1983, coupled with our
sound market regulation and high quality supervision, has
helped us weather many storms and has transformed Hong
Kong into the world's 5th largest banking centre and the
6th largest securities centre.  There would be no
competitive edge for Hong Kong if, as some have suggested,
we delink our currency and devalue.  Unlike the United
States, we do not produce raw materials.  We would simply
import inflation and undermine the reputation that we have
deservedly earned as a bastion of stability in Asia's
markets.  That could have damaging consequences for the
region and for the long term health of our own economy.

     Our banking system is sound and very well capitalised
- we have much higher capital adequacy ratios than
elsewhere - and mortgages lending has been controlled.  So
while the decline in property values is painful, it is not
a threat to the integrity of the system.  We don't have
huge stocks of unused property.  Our problem is not one of
overbuilding - despite the frenetic construction everyone
who comes to Hong Kong sees - but it is a problem of
trying to find enough land to meet demand for decent homes
and high quality office space.  The recent drop in
property prices and rents, whilst depressing sentiment for
now, will in the longer term help our competitiveness by
keeping the cost of doing business down.  More
importantly, it will make decent housing once again
affordable by our people, which is an important social
objective.  The Government is ever mindful of public
confidence in the property sector and we will be keeping a
close watch over the supply and demand situation.

     The next couple of years may well be a difficult time
for us as economies in our region try to find their feet
again and we in Hong Kong have to adjust to the new
conditions around us.  But those of you who know Hong Kong
will know that our entire history of the last fifty years
has been one of adapting and responding creatively to
change and difficulty.  The spirit of entrepreneurial
initiative and willingness to work hard that created our
past successes remains undiminished today.  To that power
of private initiative we can now add the assurance of
constant public investment and the support and goodwill of
our sovereign power, China.  In the past, when faced with
lower economic performance, we had to scale back public
spending.  But for many years now we have been practising
the virtues of prudent fiscal management, keeping down
rises in Government expenditure in years of high
performance to no more than the medium term trend rate of
growth in our economy.  As a consequence, we have been
able to put aside large fiscal reserves - on top of our
foreign exchange reserves which is now the world's third
largest.

     So for us, economic downturn now does not mean
cutting back on expenditure or increasing taxes, but a
continued steady pace of investment and continued low
taxes.  Our new state of the art airport will open on 6
July this year.  But even as we complete one massive
project, we are embarking on an equally ambitious
programme of railway development to improve commuting
within Hong Kong and aid the movement of goods and people
between Hong Kong and our economic hinterland in China.
We are spending massively on bottom up improvement in our
education system.  We are extending mother-tongue teaching
to improve overall standards of teaching while also
recruiting 700 more native English speakers this year to
improve English language teaching.  Our aim is to promote
bilingualism.  There is much more, but those examples
alone illustrate how, in the midst of today's troubles, we
are carrying on improving Hong Kong's prospects for the
future, improving and carrying on investing in our ability
to work well with the mainland, and to thrive in the
international business world.

     I am hopeful, too, about the medium and longer-term
future of our tourism industry.  We were hit particularly
badly after the Handover by a big fall in the number of
tourists from Japan, following a huge increase in 1996 and
the first half of last year by Japanese tourists who had
come to see Hong Kong as it were "before it went back to
China".  Indeed, it is an overall post-1997 "fatigue"
factor, and worries about the price structure in Hong Kong
which in turn was exacerbated by devaluations in the
region which have contributed to our current problems.

     The government and our tourist industry, in
particular the Hong Kong Tourist Association, have been
working closely together to address the problems exposed
by the turndown, and to come up with some positive ideas
and plans to resolve them.

     I can assure you all that Hong Kong remains the
exciting, dynamic, cosmopolitan yet surprising city that
is as stimulating and as much fun to visit as ever it was.
And I am happy to report that the US represented our only
growth market for tourists in 1997.  While the number of
visitors overall dropped 10 per cent, the number of
Americans was up 6 pre cent.  Thank you, Americans - and I
hope you will keep coming.

     Let me now say a few words about our elections.

     I know that worries have been expressed about the
abolition of the last legislature, its replacement by an
appointed provisional legislature, and by what critics see
as more restrictive arrangements for the first SAR
Legislative Council election which are to be held on May
24.

     Having been closely involved in this issue both
before and after the transition, I am in a good position
to understand the arguments on both sides of the debate,
and to appreciate the depth of feelings and sincerity
behind them.

     It has been a very difficult issue for all of those
concerned.  From my own perspective, I can only say that
to recognise the present and the future is not necessarily
to repudiate the past.

     Our collective responsibility as civil servants is to
put into place new arrangements for election in a way that
will be seen by the community - and by fair-minded
international opinion - as being free, fair and open.  The
aim of the arrangements are to provide a balance of
interests in the legislature to which the administration
must be accountable, and will be accountable.

     The elections will be keenly and competitively
fought.  We are no strangers to elections in Hong Kong,
and if the last two elections are any guide, our political
parties, community organisations and individuals running
for office will present the voters with some interesting
choices and challenges.  Our Chief Executive, Mr Tung Chee
Hwa, has made it clear that everybody in Hong Kong is
welcome to run in the elections, no matter what their
political views.  All of our established political
groupings are doing so, including those who have been
critical of the electoral arrangements.

     The Administration's view is that the test of the new
arrangements should be left to Hong Kong people, and they
can best do that at the ballot box.  That is why we have
conducted a massive campaign to enrol more voters; we have
now registered 70 pre cent of all potentially eligible
voters.  We will spare no efforts to encourage those who
have registered to turn up on polling day.

     I myself feel the May 24 elections will produce a
lively legislature in the recent Hong Kong tradition, and
that all sectors of the community will have their voices
heard through it.  The elections will also, in a very real
sense, put a final and important seal on the transition,
and provide a bridge for us to move forward in evolving
the democratic society envisaged in the Basic Law.  There
will be further elections in the years 2000 and 2004, by
which time the electorate will choose half of the
candidates through geographical constituencies and the
other half through functional constituencies.  By the year
2007, the Basic Law provides us with the opportunity of
deciding on a legislature elected wholly through universal
suffrage, this being the ultimate aim of our constitution.

     Mr Chairman, ladies and gentlemen, I am sorry if I
have dwelt at some length on this issue on election, but I
know how important democratic values are to Americans, and
I wanted to do my best to assure you that they are
important to us in Hong Kong also.  The future that has
been charted for us in the Basic Law is a democratic one,
and the Administration I serve will be ever mindful of
that.

     To sum up, that pattern of personal and economic
liberty that we enjoyed before 30 June 1997 continues
today.  It is the pattern that our constitution and our
hearts commit us to for tomorrow as firmly as for today.
It has created a city in which many thousands of
Americans, along with British, Canadians, Australians,
Indians, Japanese and Koreans, have been happy to make
their homes alongside our indigenous mix of Cantonese,
Shanghainese, Chiu Chow and Hakka, and that is how Hong
Kong will continue.

     Time has reunited Hong Kong with China and time, I
feel,  will refine us both. Hong Kong people are proud to
be Chinese and once again a part of China. A China that is
increasingly open and prosperous, able and willing to play
its part on the world stage.  China's economy continues to
grow strongly with little spill over effect from the
regional crisis.  Hong Kong will benefit from that growth
just as we will continue to be China's window on the rest
of the world, providing the necessary investments,
expertise, managerial know-how, financing and the access
to world markets that will help China modernise.
Notwithstanding current difficulties, we remain confident
about our future, and we invite all Americans to share in
that future.

     Thank you.

End


2.  Comprehensive plan to combat avian flu
    **************************************

     The Government announced today (Friday) a
comprehensive action plan with immediate and long-term
measures to minimise the risk of humans contracting
influenza A H5N1 virus (avian flu) through contact with
infected live poultry.

     Speaking at a press conference, the acting Chief
Secretary for Administration, Mr Michael Suen, said: "We
are committed to introducing a number of measures to
safeguard public health by ensuring that poultry on sale
in the markets are healthy.  At the same time, with the co-
operation of the Municipal Councils and Housing Authority,
all efforts will be made to improve significantly the
hygiene standards of local markets to prevent the spread
of diseases."

     "In the long term, Government will examine in detail
the feasibility and implications of introducing central
slaughtering for all live poultry before they are
delivered to retail outlets.  In this connection, people
may have to adjust their eating habits for the sake of
better environmental hygiene standards," he said.

     "As a matter of public health policy, the farming,
transportation, slaughtering and trading of live chickens
and of live ducks/other water fowls shall be segregated at
all levels to minimise the risk of the transmission of the
H5N1 virus from live ducks/other water fowls to live
chickens."

     Mr Suen pointed out that this policy was necessary
because according to veterinary experts, ducks and water
fowls are intermittent carriers of the virus.  While
infected chickens and other non-webbed birds, including
pigeons, rapidly develop the disease and die, ducks and
other water fowls do not develop the disease, but may pass
on the virus to humans through other poultry.

     "With this segregation policy, Hong Kong can resume
the import of live chickens from the Mainland once an
effective import control arrangement for chickens is in
place and when the Administration is satisfied that farms
and market places at all levels have been thoroughly
cleaned and disinfected," he said.

     "The date for resuming the import of live chickens
from the Mainland to Hong Kong is February 7, 1998."

     THE NEW IMPORT CONTROL SYSTEM WILL INCLUDE:

Mainland Farms
--------------

     - Only chickens from farms licensed and monitored by
       the Mainland animal and plant quarantine services
       are allowed for export to Hong Kong

     - Staff of Agriculture and Fisheries Department (AFD)
       will visit these farms from time to time to
       monitor their hygiene standards

     - Chickens for export to Hong Kong will be segregated
       from other birds in the farm five days prior to
       export and tested negative for H5 virus

     - Export chickens will require health certificates
       signed by a competent veterinary authority.

Entry Points
------------

     - Health certificates containing the identity of the
       farm, and stating the number of chickens and other
       non-webbed birds and the number of cages in the
       consignment will be collected and retained by AFD
       staff at entry points.

     - Samples will be taken from each consignment for
       blood test, results of which will be available in a
       few hours.

     - Law enforcement for non-compliance with import
       control requirements.

Wholesale Level
---------------

     - Consignment will be withheld from sale until test
       results at entry points indicate that the
       consignment is free from H5 virus.

     - Whole consignment of chickens will be seized and
       destroyed by AFD if any one of the samples is found
       to be infected with H5 virus.

     - Labelling system to enable the tracing of poultry
       if problems are detected.

     - Encourage replacement of wooden cages with plastic
       or metal ones which are easier to clean.

Local Chicken Farms
-------------------

     - Import of chicks for stock replenishing will be
       subject to the same health certification
       requirements to ensure that they are free from H5
       virus.

     - Farms will be inspected regularly and their
       chickens will be tested to ensure that they are
       free from H5 virus.

     - Labelling system to enable the tracing of poultry
       if problems are detected.

     OTHER MEASURES BEING TAKEN AT THE RETAIL LEVEL ARE:

     - Cleansing exercises being conducted at retail
       outlets.

     - Urban Services Department (USD), Regional Services
       Department (RSD) and Housing Department (HD) to
       ensure a good hygiene standard at poultry stalls.

     - Seminars and courses organised for members of
       poultry trade on food hygiene and proper handling
       of poultry.

     - Encourage replacement of wooden cages with plastic
       or metal ones which are easier to clean.

     The Public Health (Animals and Birds) (Amendment)
Regulations 1998 gazetted today provided legal support for
the tightened import control system.  It prohibits the
bringing in to Hong Kong of any bird without a health
certificate acceptable to the Director of Agriculture and
Fisheries.  Offender will be liable to a fine of $25,000.

     Under the new policy, the import of live ducks and
water fowls will continue to be suspended temporarily.

     If despite efforts made to search for a central
slaughtering facility for live ducks and other water
fowls, no suitable place could be identified, other
options might have to be considered, Mr Suen said.

     As for chilled and frozen poultry, according to World
Health Organisation (WHO), there appeared to be no risk of
transmission of the H5N1 virus to humans from contact with
raw, chilled or frozen poultry foods.

     "Since poultry properly washed, handled and cooked
are fit for human consumption, the import of chilled
chickens, ducks and geese from the Mainland will resume at
the same time as live chickens," he said.

     "To safeguard public health, the Administration will
step up health surveillance and sample inspections to
ensure that the imported chilled poultry are fit for human
consumption."

     These chilled poultry would only be sourced from
farms licensed for export to Hong Kong.  They had to be
slaughtered at designated marketing plants in the Mainland
inspected by the Hong Kong Health Authority.

     Health certificates would be checked at the entry
points and samples would be collected for testing.

     Members of the public are asked to maintain good
personal and food hygiene as a prevention measure against
the avian flu.  They should wash hands with soap
immediately after handling poultry.  Poultry should be
cooked thoroughly before consumption.  Chopping boards
used for handling raw meat should be cleaned thoroughly
before re-use.

     Mr Suen said in the long term, fresh impetus on
public hygiene would be given to the Keep Hong Kong Clean
Campaign under the two Municipal Councils.  Efforts would
be made to enhance public awareness of the importance of
cleanliness and personal hygiene through this territory-
wide campaign with stepped up public education activities.

     At the poultry markets, a significant improvement to
the hygiene standards of the wholesale and retail markets
would be maintained by AFD, USD, RSD and HD.

     Licensing requirements and conditions for fresh
provision shops and market stalls were also being reviewed
and revised to tighten up control.  Vigorous enforcement
action would also be taken.

     Separately, the Department of Health (DH) would
continue its surveillance effort on avian flu together
with the Hospital Authority and private doctors.  DH would
continue to find out more about the mode of transmission
of influenza A H5N1 in collaboration with the World Health
Organisation, Centres for Disease Control in Atlanta,
world experts and local medical personnel.

     Mr Suen appealed to the community to support the
comprehensive action plan to enable effective control of
the avian flu.

     "It is only with the concerted efforts of the
Government, members of the public, traders, poultry
workers and medical personnel that we can implement the
measures smoothly and to make significant improvement to
our environmental hygiene standards in the long run."

End


3.  Update on avian flu
    *******************

     The Department of Health (DH) announced today
(Friday) that there was no new case of influenza A (H5N1)
today.

     The total number of cases stands at 18 confirmed
cases.

     The conditions of these cases remain the same as of
January 16.

End


4.  Imported birds to be certified free of avian flu
    ************************************************

     Birds brought into Hong Kong have to be accompanied
by a health certificate stating that they are free of H5
avian influenza under new controls which take effect today
(Friday).

     The new controls are contained in the Public Health
(Animals and Birds) (Amendment) Regulation 1998, gazetted
today.

     From now on, it will be an offence to bring into Hong
Kong any bird unless it is accompanied by a valid health
certificate issued by a competent veterinary authority in
the place from which it is being imported.

     Any person who contravenes the new regulation will be
liable on summary conviction to a maximum fine of $25,000.
The birds concerned may also be forfeited.

     The health certificate has to certify that the birds
concerned -

     - are free of clinical signs of disease

     - during the preceding 180 days, have not been kept
       at a place infected with the H5 avian influenza
       virus

     - during the preceding 5 days, have been segregated
       from other birds and tested, with negative
       results, for H5 avian influenza.

     A spokesman for the Economic Services Bureau
emphasised that the new requirement for a health
certificate applies to any bird imported into Hong Kong
from any other place, whether for commercial purposes, for
non-commercial purposes or as personal effects.

     The spokesman said that the new requirement is in the
interests of public health and an important element in the
Government's strategy for preventing any further outbreak
of H5 avian influenza and restoring public confidence in
consuming chicken.

     The spokesman added that it is essential for the new
controls to apply to all birds - not just poultry - as any
bird can carry the H5 avian influenza virus.

     The spokesman also said that the new controls accord
with the arrangements agreed with the mainland authorities
for health certification of poultry and other birds
exported from the Mainland to Hong Kong.

     Staff of the Agriculture and Fisheries Department
will carry out the necessary checking at entry points to
ensure that the new requirement is observed by all persons
bringing birds into Hong Kong.  They will be assisted in
enforcement of the new controls by the Customs and Excise
Department and the Police.

End


5.  CE meets employee representatives
    *********************************

     The Chief Executive, Mr Tung Chee Hwa, met the six
employee representatives of the Labour Advisory Board, Mr
Cheng Yiu-tong and Mr Lee Kai-ming today (Friday) to
discuss matters relating to importation of labour for the
construction industry.

     The Chief Executive has had a useful exchange of
views with them on the subject. "I fully recognise the
need to protect the employment interests of local workers
in the light of the prevailing economic situation," Mr
Tung said.

     During the meeting, the Chief Executive said that the
Government would invest in a series of infrastructural
development projects over the next few years to prepare
Hong Kong for new challenges in the long term.

     "To do so, we have to maintain a strong partnership
with local construction workers.  Our objective is to meet
the demand for construction labour through sustained,
flexible and intensive training and retraining of local
workers," he said.

     "The Government will leave no stone unturned in
ensuring that job opportunities in the construction
industry go to local workers, in providing training and
skills upgrading for local workers, in reducing the
wastage rate, and in attracting new blood to the
industry," Mr Tung said.

     "Only when there are bottlenecks in labour supply and
proven manpower shortage will the Government consider
allowing the importation of labour.  Even so, this will be
subject to careful vetting," he added.

     On the proposed Construction Labour Importation
Scheme, Mr Tung assured the employees' representatives
that the Government would take full and careful account of
public views, present economic climate and prevailing
construction labour market conditions before deciding on
the way forward.

     Mr Tung said that the Executive Council would
consider the matter fully next month.

     Earlier today, the Chief Executive also met
representatives of the Hong Kong Construction Association.

     During the meeting, Mr Tung urged the Association to
explore seriously the possibility of improving the income
stability and job security of local construction workers,
such as by employing them on the basis of monthly wages
where possible.  This would help reduce the wastage rate
within the industry.

End


6.  LD to offer assistance to retrenched workers
    ********************************************

     In response to press enquiries on the workers of Sun
Hung Kai Properties Group who are retrenched by works
stoppage for some of its planned development projects, a
spokesman for the Labour Department said today (Friday):

     "The Labour Department has contacted the company and
will continue to monitor the development.  The management
has been advised about the entitlements of the dismissed
workers under the Employment Ordinance (EO).

     "For employment assistance, the affected workers can
go to the Local Employment Service offices throughout the
territory or call the department at 2852 3569.

     "For enquiries on the employees entitlements under
the EO, the affected workers can go to the Labour
Relations Service offices for assistance."

End


7.  Government to introduce Senior Citizen Residence Scheme
    *******************************************************

     The Chief Executive in Council agreed that in
addition to the various existing priority schemes to
provide housing for the elderly in need, a new housing
scheme for elderly persons in the middle income group
should be introduced.

     The Hong Kong Housing Society will, in consultation
with the Elderly Commission, implement a newly introduced
Senior Citizen Residence Scheme, initially on a pilot
basis using two urban sites which would be granted at
nominal premium.

     A spokesman for the Housing Bureau said today
(Friday) that the Chief Executive, in his Inaugural
Address in 1997, stressed our commitment to take care of
the various needs of our senior citizens and provide them
with a sense of security, a sense of belonging and a sense
of worthiness.  Provision of housing resources for the
elderly is a major initiative of the Hong Kong SAR
Government.

     The spokesman said that at present, there are
priority schemes to enable elderly persons in the lower
income group to gain access to public rental housing as
early as practicable.

     "During the four-year period from 1997-98 to 2001-02,
we will provide some 30,000 public rental flats suitable
for allocation to the elderly people."

     "Meanwhile, we will continue to encourage those
elderly people living in sub-standard private
accommodation to apply for public housing," the spokesman
said.

     There is, however, no scheme, with Government
subsidy, specifically targeted at meeting the housing
demand of elderly persons in the middle income group.

     "The average age of our population is increasing, so
is the demand for housing from elderly persons.  A
consultancy study has revealed that there is in effect a
'sandwich class' of the elderly population, who require
affordable housing with care and supportive services
within easy reach to live in their home environment with
minimal disruption," he said.

     "Two sites in Tseung Kwan O and Ngau Tau Kok,
suitable for development into 500 flats, have been
identified for the pilot Senior Citizen Residence Scheme."

     He added that the Housing Society will take up
project development and estate management.  Non-government
organisations will be invited to operate care and support
services for the elderly, including nursing, para-medical
and other specialist care.

     These services will be provided on a self-financing
basis and a referral system will be established to provide
the necessary supporting services to the elderly residents
whose health conditions may deteriorate at a later stage.

     The spokesman stressed that the scheme is not another
type of care and attention home for the elderly but a
specific housing initiative with integrated domestic and
supportive components to enable the elderly to 'age in
place' and enjoy 'healthy ageing.'"

     As regards the tenure arrangements, the spokesman
explained that a lump sum based on a reduced cost of flat
production will be paid by residents upon occupation.
Residents will have the right to live in the flats during
their whole lifetime.

     Part of the lump sum, based on the duration of
tenure, will be refunded to successors of the occupants
upon death, or to the occupants themselves if they choose
to terminate the lease.

     "The flats vacated will be refurbished and leased
again to other eligible applicants.  This arrangement will
allow mobility and also ensure that the flats continue to
be used to benefit the target elderly group," the
spokesman added.

     Government will, together with the Elderly Commission
and the Housing Society, work out the implementation
details including eligibility criteria of the pilot
scheme.  The flats will be completed by 2001.

End


8.  Thomson BankWatch's ratings recognised
    **************************************

     The Hong Kong Monetary Authority (HKMA) has announced
today (Friday)that the ratings of Thomson BankWatch (TBW)
will be recognized with immediate effect by the HKMA for
the purpose of the profits tax concession scheme under
section 14A(4)(b) of the Inland Revenue Ordinance.  The
minimum credit rating requirement applicable to TBW's
ratings will be BBB+.

     Under the profits tax concession scheme, which came
into effect on 24 May 1996, interest income and trading
profits derived from eligible debt securities will enjoy a
concessionary tax rate equal to 50 per cent of the
prevailing profits tax rate.  To be eligible, a debt issue
should, among other criteria, possess a minimum credit
rating from a rating agency recognized by the HKMA.

     In addition to TBW, four other credit rating agencies
have been recognized by the HKMA for the purpose of the
profits tax concession scheme since May 1996:

Recognized rating agency      Minimum rating required

IBCA                               BBB-
JBRI                               BBB+
Moody's                            Baa3
S&P's                              BBB-

     The HKMA reserves the right to make adjustments to
the list of recognized rating agencies and the minimum
rating requirements from time to time.

End


9.  Science Park Planning Committee's recommendations accepted
    **********************************************************

     The Chief Executive in Council has accepted the
recommendations made by the Planning Committee on Science
Park as the broad planning basis on which the Science Park
project should be implemented.

     A spokesman for the Trade and Industry Bureau today
(Friday) said that the Science Park would be an important
technological facility to help move Hong Kong industries
up the technological ladder, facilitate the development of
higher value-added production, stimulate more technology
intensive activities and provide additional employment
opportunities.

     "We accept the Committee's recommendation that the
Science Park should be built as soon as possible, with a
target to open its phase one in the second half of 2001,
so as to ensure Hong Kong's competitiveness in the global
market in the next century."

     The Committee recommended that the Science Park
should occupy an area of 22 hectares and be developed in
three phases over a period of 15 years.

     For the phase one development, it should occupy an
area of eight hectares and have, apart from the common
facilities, four multi-tenant buildings and a block of
serviced apartments to provide accommodation facilities
for visiting scientists and researchers who are not local
residents.

     "We believe that these proposed development
parameters should be able to provide phase one of the
Science Park with the essential facilities, infrastructure
and services to enable it to fulfil its mission and
objective," he said.

     The Government has also accepted the Committee's
recommendation that a new statutory body, the Science Park
Corporation, should be set up to plan, develop and manage
the Science Park.

     The spokesman said that given the lead time to
establish the corporation by statute, a limited company
would be set up in the interim period to plan and develop
the Science Park.

     "In order to ensure the Science Park's financial
viability and in line with the infrastructural investment
nature of the project, we agree with the Committee that
the land for its development should be granted at nominal
premium."

     The Committee estimated that phase one would require
$3.64 billion at money-of-the-day prices.

     The project estimate comprised capital expenditure of
$3.33 billion and operating costs of $310.93 million for
the initial seven years of operation of the Corporation
before it became self-financing, he said.

     Noting that these figures were subject to adjustment
when the planning parameters were finalised and detailed
designs were available, the Government would be seeking
funding approval from the Finance Committee shortly to
enable essential preparatory work such as recruitment of
staff and detailed design work to start as early as
possible, he said.

     The Industry Department commissioned the Segal Quince
Wicksteed (Asia) Ltd. to carry out two consecutive studies
to explore the desirability and feasibility of
establishing a science park in Hong Kong in 1992 and 1995
respectively.

     Both studies confirmed the need and the demand for a
science park in Hong Kong.

     In January 1997, the Planning Committee was set up to
advise the Government on planning and implementation
issues relating to the establishment of a science park at
Pak Shek Kok in Tai Po.

     It was chaired by the Director-General of Industry
and comprised prominent industrialists, academics, leaders
from relevant business sectors, and Government officials.

     It completed its work and submitted a report to the
Government in November 1997.

     "We are grateful to the Committee for producing very
useful recommendations on a wide range of planning and
implementation issues which help us to take forward the
project in an effective and efficient way," the spokesman
said.

End


10. HKSAR/UK agreement on mutual legal assistance in criminal matters
     *********************************************************

     The Hong Kong Special Administrative Region and the
United Kingdom signed an agreement today (Friday)
concerning mutual legal assistance in criminal matters.

     The agreement was signed by the Secretary for
Security, Mr Peter Lai, on behalf of the Hong Kong Special
Administrative Region Government, and the British Consul
General, Sir Andrew Burns, on behalf of the United Kingdom
Government.

     The Agreement concerning Mutual Legal Assistance in
Criminal Matters (MLA Agreement) is the fourth agreement
that Hong Kong has signed on international co-operation
against crime.  The other three agreements were signed
with Australia, France and the United States.

     The MLA Agreement contains all the essential features
and safeguards for international agreements of this type.
The major kinds of assistance covered by the Agreement
are:

     * taking of evidence;

     * search and seizure of items which are relevant to
       criminal matters under investigation;

     * producing documentary evidence relevant to criminal
       matters;

     * identifying and locating suspects and witnesses;

     * transferring persons between the Hong Kong Special
       Administrative Region and the United Kingdom
       jurisdictions to provide assistance;

     * confiscating the proceeds of crime; and

     * serving documents.

     Speaking at the signing ceremony, Mr Lai said, " By
signing the agreement, not only are we making a further
achievement in our co-operation in this important area of
combating trans-boundary crime, we are sending a powerful
message to the international community that the rule of
law continues in the Hong Kong Special Administrative
Region."

     He added that the signing of the agreement served as
another vote of confidence in the law enforcement
bilateral programmes, the criminal justice system and the
future of the Hong Kong Special Administrative Region as a
whole.

     The Mutual Legal Assistance in Criminal Matters
Ordinance, which provides the necessary legislative
backing for the implementation of the agreement, is
already in place.  The Agreement will enter into force 30
days after both sides notified each other in writing that
their respective requirements for the entry into force of
the agreement have been complied with.

End


11. Time limit for objections to draft plans
    ****************************************

     The Government proposed to impose a statutory time-
limit of nine months within which objections to draft
plans should be resolved to improve the efficiency of the
plan-making process so as to speed up the delivery of
major infrastructural development, pending an overhaul of
the existing town planning system.

     A government spokesman said today (Friday) that the
proposed time-limit would streamline the existing planning
process and remedy the current situation whereby draft
plans could possibly be held up by objections for years.

     "If the proposed statutory time-limit is implemented,
plans which, on past experience, may take four or more
years to process could in future be made within 20
months," the spokesman said.

     In practice, to resolve objections within nine
months, two complementary measures would also be
introduced to empower the Town Planning Board to set up
committees, from among its members, to hear objections
either individually or collectively and proceed with any
such hearing even if the objector or his authorised
representative choose not to attend.

     If there are objections which have not been withdrawn
within the time frame, they will be submitted to the Chief
Executive in Council for a decision.

     The spokesman said that this is one of the proposed
changes in the Town Planning White Bill put out for public
consultation in July 1996 which received widespread
support.

     The Government is still considering how the existing
planning system should be overhauled to make it more
efficient, open and accountable to the public.

     "We are committed to coming up soon with a
comprehensive package to restructure the existing system
by striking a good balance among the interests of the
community.

     "Pending the forthcoming overhaul, the Town Planning
(Amendment) Bill 1998 will be gazetted on next Tuesday (27
January) before being introduced into the Provisional
Legislative Council on 11 February," he added.

End


12. Revolving credit facility for HKMC
    **********************************

     The Hong Kong Mortgage Corporation (HKMC) announced
today (Friday) that it had entered into an agreement with
the Hong Kong Monetary Authority (HKMA) through which the
Exchange Fund would provide a HK$10 bn revolving credit
facility to the HKMC.

     "The HKMC welcomes the support provided by the
Government as its shareholder.  The credit facility will
enable the HKMC to obtain short term funds to bridge the
gap between the purchase of mortgage loans and the
issuance of debt securities, which may arise from time to
time due to volatile conditions in the capital market," an
HKMC spokesman said.

     "The provision of the credit facility will not affect
the HKMC's plan to launch the HK$ debt issue under the
Note Programme arranged by the HKMA as soon as the market
conditions permit," he added.

     The HKMC will proceed with the purchase of the second
block of mortgages in early February according to plan.  A
tender will be held on February 5 in which all the
Approved Sellers will be invited to submit bids on a
competitive basis to sell their mortgages which meet the
purchasing criteria announced by the HKMC.  Details of the
tender will be announced next week.

End


13. A busy final Chinese New Year for Kai Tak
    *****************************************

     This coming Chinese New Year (CNY) holiday will be
the last for Kai Tak Airport and, in spite of the downturn
in the region's economy, it is already shaping up to be a
very busy period.

     The airport is preparing to cope with a surge of
additional passengers, at least equivalent to that
experienced during the 1997 CNY.

     The latest information from airlines indicates that
over 350 extra flights will be operated between January 26
and February 4.  This will mean that the airport will have
to handle some 465 flight movements a day, 35 passenger
flight movement more than in a normal busy day.

     The number of passengers using the airport's terminal
building will also increase to nearly 20,000 daily on the
peak days.

     A spokesman for the Civil Aviation Department which
manages Kai Tak explained how passengers using the airport
during this period can help ensure the smooth operation of
Kai Tak.

     "Passengers are advised to come to the airport as
early as possible to check-in, as traffic on the approach
roads will be heavy and congestion is likely," he said.

     "Motorists are also encouraged to make use of the
Passenger Drop-Off Area located in the Multi-Storey Car
Park in front of the terminal, an area specially designed
for peak periods so passengers can avoid the congestion at
the busy departure kerbside."

     He also stressed that vehicles must move away from
the kerbside as soon as they have dropped their passengers
and baggage as any waiting vehicles will be issued a
penalty ticket by the Police without prior warning.

     Everything will be done within the terminal to ensure
that the large number of travellers using the airport can
enjoy a comfortable and efficient transfer onto their
flight.  "We encourage passengers to proceed to the
Immigration control as soon as they have checked-in,"
added the spokesman.  This avoids that last minute rush to
the boarding gate and prevents delays to flights.

     This will be a very busy period for Kai Tak.  He
hopes that all the passengers will have a comfortable
passage through the airport, a pleasant flight and a very
happy Chinese New Year.

End


14. Provisional statistics of retail sales for November 1997
    ********************************************************

     The value of total retail sales in November 1997,
estimated at $18.4 billion, remained virtually unchanged
when compared with November 1996.  After discounting the
effect of price changes over the period, total retail
sales decreased by 3 per cent in volume.

     These are provisional figures on retail sales
released today (Friday) by the Census and Statistics
Department.

     The slackening in total retail sales in November 1997
was mainly attributable to the decline in sales of motor
vehicles, by 10 per cent in value and 9 per cent in
volume.  In volume terms, this was the first month for the
sales of motor vehicles to register a year-on-year
decline, after consecutive increases for a period of
twenty months since March 1996.

     In addition, sales of clothing and footwear and sales
in department stores recorded decreases of 7 per cent and
6 per cent in value respectively.  Their respective
decreases in volume were 13 per cent and 11 per cent.
Sales of jewellery, watches and clocks and valuable gifts
decreased by 3 per cent in value and 1 per cent in volume.


     Meanwhile, sales of miscellaneous consumer goods
recorded an increase of 6 per cent in value, but remained
virtually unchanged in volume.

     Sales in other types of outlets continued to record
increases in both value and volume, including other
consumer durable goods (6 per cent in both value and
volume); fuels (11 per cent in value and 4 per cent in
volume) and food, alcoholic drinks and tobacco (2 per cent
in value and 1 per cent in volume).  Sales in supermarkets
grew by 7 per cent in value and 1 per cent in volume.

     Compared with October 1997 (but bearing in mind that
this comparison is affected by seasonal factors), total
retail sales in November 1997 decreased by 7 per cent in
both value and volume.

     Comparing the period from January to November 1997
with the same period in 1996, total retail sales rose by 6
per cent in value and 2 per cent in volume.

     A Government Secretariat spokesman commented that the
decline in the volume of retail sales in November 1997 was
partly due to the continued slack in inbound tourism.  In
addition, affected by the marked correction in the stock
and property markets since October 1997 and the weakening
in consumer sentiment amidst the regional financial
turmoil, local demand for high-value items such as motor
vehicles, jewellery and watches was dampened. Also reduced
in the circumstances was the demand for clothing and
footwear.  However, sales of items such as food, fuels and
other consumer durables continued to increase in volume.

     The volume of retail sales is derived from the value
of retail sales after adjusting for price changes.  The
relevant components of the Consumer Price Index are used
as deflators.

     Table 1 presents the revised total retail sales
figure for October 1997 and the provisional figure for
November 1997.

     Table 2 shows the value and volume indices of retail
sales in November 1996, October and November 1997 for all
retail outlets and by type of retail outlets, with average
retail sales from October 1994 to September 1995 taken as
100.  Comparisons of the November 1997 results with those
for October 1997 and those for November 1996, as well as
comparison of retail sales in the period from January to
November of 1997 with the same period in 1996 are also
given.

     Starting from the reference month of January 1997, a
new series of value and volume indices reflecting changes
in the combined sales of supermarkets and supermarkets
operating in department stores was compiled.  The new
indices were shown in Table 2 as supplementary statistics
to provide further reference for certain analytical
purposes.

     The report containing the analysis of the November
1997 results is now on sale at $3 per copy at the
Government Publications Centre, ground floor, Low Block,
Queensway Government Offices, 66 Queensway; and the
Publications Unit of the Census and Statistics Department,
19th floor, Wanchai Tower, 12 Harbour Road, Wan Chai.

     Enquiries about the survey results may be directed to
the Wholesale and Retail Trade Statistics Section of the
Census and Statistics Department on 2802 1258.

End


15. Marine traffic arrangements for fireworks display
    *************************************************

     The Marine Department (MD), Marine Police(Marpol) and
the Fire Services Department (FSD) will jointly implement
a series of marine traffic arrangements in Victoria
Harbour to ensure safety during the 1998 Lunar New Year
Fireworks Display on January 29 (Thursday).

     The fireworks will be discharged from four barges
moored in Central Victoria Harbour off Wan Chai at 8 pm
and will last for about 23 minutes.

     Announcing details of the arrangements at a press
conference today (Friday), Marine Officer, Harbour Patrol
Section of the Marine Department, Mr Lai Chi-tung, said an
area encompassing the fireworks display barges would be
established as a closed area between 3 pm and 10 pm.

     "This area will be closed to all marine traffic
except craft directly involved in the fireworks display,
Government launches and other vessels approved by the
Director of Marine," Mr Lai said.

     He added that from 7 pm to 9 pm, Central Victoria
Harbour would be designated a restricted area.

     The restricted area is bounded on the east side by a
straight line joining Hung Hom Railway Station Cargo Pier
and the breakwater at Kellet Island Royal Hong Kong Yacht
Club.  The western boundary is a straight line joining the
southwest extremity of the Ocean Terminal, Tsim Sha Tsui
and the Central Government Pier.

     "During the effective period of restriction, no
vessel other than Government launches, vessels directly
involved in the fireworks display or those which have
obtained permission from the Director of Marine will be
allowed to enter or remain within the restricted area," Mr
Lai said.

     "Special permission will only be given to public
transport vessels and those for the essential operation of
the port, while applications from spectator vessels for
viewing the display will not be entertained," he added.

     Mr Lai advised coxswains of spectator vessels that
waters to the west of the restricted area would not be a
good viewing location due to heavy traffic conditions.

     He suggested spectator vessels from the west to
proceed to the east before the closure of Victoria
Harbour.

     To facilitate crowd control on shore, landing steps
at Queen's Pier, Lung King Street, Kowloon Public Pier,
Tsim Sha Tsui East promenade and the Hung Hom East steps
will be closed to marine traffic from 7 pm to 9 pm.

     Mr Lai urged vessels, if possible, to use landings in
areas away from Central, Wan Chai and Tsim Sha Tsui.

     To ensure safe navigation and orderly disembarkation
of passengers after the fireworks displays, two sterile
areas will be set up at Queen's Pier and Kowloon Public
Pier respectively from 9 pm to 10 pm.

     These two sterile areas will include the water areas
fronting the respective piers and to a distance of about
90 metres offshore.  They will be physically marked by MD
and Marpol launches deployed to line up offshore.

     Mr Lai said vessels intending to use the piers were
required to wait at a designated gathering area prior to
berthing and, under the direction of MD and Marpol
launches, vessels would only be permitted to enter the
sterile areas from the east and depart from the west.

     A Marine Department Notice No. 7 of 1998 has been
published to give full details of the special marine
traffic control measures.  Free copies of the notice are
available from the Port Formalities Office on the third
floor, Harbour Building, 38 Pier Road, Central and also
from the MD Homepage at
http://www.info.gov.hk/mardep/index.htm on the Internet.

     Mr Lai also advised that small vessels, particularly
those with no decking, or small vessels of a length less
than five metres, should not proceed to or remain in the
envisaged heavy traffic harbour area in that evening since
such vessels were vulnerable to the wash from large
vessels and were not easily detected by larger vessels.

     Regarding safety measures of vessels during the Lunar
New Year fireworks display, Mr Lai advised coxswains of
spectator vessels on the following:-

     * All vessels navigating in Victoria Harbour between
       Green Island and Lei Yue Mun should proceed at a
       safe speed which should not generally exceed five
       knots;

     * Every vessel should at all times maintain a proper
       look-out, and take measures including switching off
       cabin lights to avoid obscuring the view of the
       look-out;

     * Searchlights should not be used on or from any
       vessel as the direction of such lights on other
       vessels will interfere with their keeping of a
       proper look-out and their safe operation; and

     * Vessels should not hurry to leave the viewing areas
       immediately after the display.

     Mr Lai also advised masters, owners and operators of
all vessels to take heed of the following measures before
proceeding on a voyage:-

     * All persons on board are aware of the location of
       all life saving appliances and that they know how
       to put on a lifejacket properly.  A practical
       demonstration is recommended;

     * All children aboard wear lifejackets at all times;

     * A passenger list is prepared for the ready use of
       emergency services.  This list should include the
       names of all passengers and crew on board, and
       should be kept by the master; and

     * The carrying capacity on the licence of a vessel is
       not exceeded.

     Mr Lai pointed out that there would be a large number
of MD, Marpol and FSD vessels identified by their flashing
red or flashing blue lights either stationed or patrolling
in the central harbour area.  Masters should follow any
instructions originated from these vessels.

     In the event that a vessel is in danger and requires
assistance, its master can:-

     * Call the Marine Department on very high frequency
       radio telephone channel 16 using the call sign
       "Hong Kong Rescue", or on the telephone number 2545
        0181;

     * Call the Marine Police on the telephone number 2803
       6241;

     * Call 999; or

     * Indicate the need of assistance by using distress
       signals.

End


16. Kerb-markings for no-stopping zones
    ***********************************

     The Transport Department will put on trial a
supplementary road marking scheme for no-stopping
restricted zones at selected sites in Tsim Sha Tsui, Kwai
Fong and Causeway Bay.

     On the trial, Senior Engineer (Standards) of Road
Safety and Standards Division, Mr Kwok Wai-kin, said today
(Friday): "The pavement kerbs will be painted with groups
of vertical bars, each groupings indicates certain common
restriction periods.

     "These kerb-markings are adjacent to the existing
single solid yellow line which also denotes a stopping
ban.

     "The barred-kerb will supplement the single yellow
line by adding additional information on the restriction
periods of different no-stopping zones."

     There are three types of kerb-markings for no-
stopping restricted zones.

     Groups of single bar-line on the kerbstone represents
a 7am - 10 am/ 4 pm - 7 pm stopping ban.

     Groups of double bar-lines denote a 7 am - 7 pm daily
no-stopping ban while those painted with groups of three
bar-lines along the kerbs indicate a continuous ban from 7
am to midnight daily.

     The trial scheme will be carried out at the following
locations in the territory:

     * Area bounded by Leighton Road, Gloucester Road and
       Canal Road East in Causeway Bay;

     * Area bounded by Canton Road, Salisbury Road, Nathan
       Road and Haiphong Road in Tsim Sha Tsui; and

     * Area bounded by Kwai Yi Road, Kwai Foo Road, Kwai
       Yan Road and Hing Ning Road in Kwai Fong.

     At present, no-stopping restricted zones are
indicated by the erection of regulatory signs and road
markings.

     The periods during which the stopping bans applied
are shown on the supplementary plates underneath the "no-
stopping" signs.

     For 24-hour restriction, double yellow lines are
painted along the edge of the carriageways.  Other time
periods are indicated by a single solid yellow line.

     "The new kerb-marking scheme which serves advisory
purpose can make different stopping restrictions more
readily comprehensible and easily identified by
motorists," said Mr Kwok.

     A similar trial on the use of different coloured sign
posts to indicate various restriction periods for no-
stopping zones has been carried out in Causeway Bay since
August last year.

     "Motorists mostly welcomed the coloured sign posts
and no complaints has been received so far.

     "The Transport Department will evaluate these two
marking schemes together later, focus will be mainly on
their effectiveness in enhancing motorists' recognition of
the stopping restrictions," Mr Kwok added.

     A review of the trial scheme will be carried out in
about three months time.

End


17. Logo design competition deadline extended
    *****************************************

     The deadline for submissions to the "Hong Kong, Our
Home" Logo Design Competition has been extended from
February 2 to February 16.

     The competition is part of a series of activities
jointly organised by the Committee on the Promotion of
Civic Education (CPCE), the Home Affairs Bureau and the
Home Affairs Department under the theme "Hong Kong, Our
Home" to enhance the public's sense of belonging to Hong
Kong as well as their understanding of the community and
its culture.

     "In order to achieve our objective and to encourage
as much participation from the public as possible, in
particular from students who are now busy with their
examinations, we have decided to push back the deadline to
enable more participants to submit their entries at a
later date," a CPCE spokesman said.

     In this connection, winners will be notified of the
result in writing in mid-March instead of before February
28 as previously scheduled.

     Participants are reminded to send in their entries
together with an application form to the Home Affairs
Bureau at 31st floor, Southorn Centre, 130 Hennessy Road,
Wan Chai, before the new deadline.

     Enquiries can be made on 2835 1061.

End


18. Ocean vessels and seaborne cargo statistics
    *******************************************

     In the third quarter of 1997, 10,570 ocean vessels
with a total capacity of 50.6 million net registered tons
entered Hong Kong, according to the statistics released
today (Friday) by the Census and Statistics Department.
Compared with the third quarter of 1996, the number of
vessels increased by 1 per cent, and capacity increased by
10 per cent.

     Net registered ton (NRT) is a unit measure in volume
terms of the space of a vessel available for carrying
passengers or goods.  One NRT is equivalent to 100 cubic
feet.

     During the same period, there were 10,543 outgoing
ocean vessels with a total capacity of 50.1 million net
registered tons.  Compared with the third quarter of 1996,
the number of vessels increased by 1 per cent, and
capacity increased by 8 per cent.

     In the third quarter of 1997, the total tonnage of
seaborne inward cargo, comprising seaborne imports and
seaborne inward transhipment, was estimated to be 23.5
million tonnes, representing an increase of 7 per cent
over the same quarter in 1996.  The respective increases
in the total tonnage of seaborne imports and seaborne
inward transhipment were 7 per cent and 6 per cent.

     During the same period, the total tonnage of seaborne
outward cargo, comprising seaborne exports (domestic
exports plus re-exports) and seaborne outward
transhipment, was estimated to be 10.7 million tonnes,
representing an increase of 1 per cent over the same
quarter in 1996.  Within this total, when compared with
the third quarter of 1996, there was little change in the
tonnage of seaborne exports but an increase of 3 per cent
in that of seaborne outward transhipment.

     Of the seaborne inward cargo, 82 per cent in terms of
tonnage were seaborne imports and 18 per cent were
seaborne inward transhipment.  56 per cent of these
cargoes were containerized.

     Of the seaborne outward cargo, 58 per cent in terms
of tonnage were seaborne exports and 42 per cent were
seaborne outward transhipment. 88 per cent of them were
containerized cargo.

     The above statistics are summarized in Table 1.

     In the third quarter of 1997, the top five
countries/territories of loading for seaborne inward cargo
were Singapore (which accounted for 13 per cent in tonnage
terms), Japan (13 per cent), Taiwan (12 per cent),
Republic of Korea (10 per cent) and the mainland of China
(10 per cent).  The top five countries/territories of
discharge for seaborne outward cargo were the mainland of
China (23 per cent), the U.S.A. (21 per cent), Taiwan (7
per cent), Japan (5 per cent) and Singapore (4 per cent).

     The top five principal commodities of seaborne inward
cargo in tonnage terms included petroleum, petroleum
products and related materials (20 per cent); artificial
resins and plastic materials (9 per cent); iron and steel
(8 per cent); coal, coke and briquettes (6 per cent) and
paper and paper products (6 per cent).

     The top five principal commodities of seaborne
outward cargo in tonnage terms included machinery (12 per
cent); other manufactured goods classified chiefly by
material (10 per cent); other manufactured articles (9 per
cent); toys (8 per cent) and petroleum, petroleum products
and related materials (5 per cent).

     The distribution of the top ten countries/territories
of loading and discharge and their changes in the tonnage
of seaborne inward and outward cargo between the third
quarter of 1997 and the third quarter of 1996 are shown in
Table 2 and Table 3.

     Similar statistics for seaborne inward and outward
cargo analysed by the top ten principal commodities are
shown in Table 4 and Table 5.

     Ocean vessel statistics are compiled primarily from
general declarations submitted to the Marine Department by
ship masters or authorized shipping agents and cover all
ocean vessels entering and leaving Hong Kong, excluding
yachts and pleasure craft.

     Seaborne cargo statistics are compiled from a sample
of consignments listed in the ocean cargo manifests
supplied by shipping companies or agents to the Census and
Statistics Department.

     More details of ocean vessel and seaborne cargo
statistics for the third quarter of 1997 are contained in
the report entitled "Hong Kong Shipping Statistics, July -
September 1997".  This report is in bilingual form.

     The report is now on sale at the Government
Publications Centre, Ground Floor, Low Block, Queensway
Government Offices, 66 Queensway, Hong Kong, and the
Publications Unit of the Census and Statistics Department,
19th Floor, Wanchai Tower, 12 Harbour Road, Wan Chai at
$57 a copy.

     Enquiries on statistics contained in the report may
be directed to the Shipping and Cargo Statistics Section
of the Census and Statistics Department on telephone 2582
4887.

End


19. Appointments to Advisory Committee on Travel Agents
    ***************************************************

     The Government have appointed two new members, Messrs
Ronnie Ho Pak-ting and Joseph Tung Yao-chung to the
Advisory Committee on Travel Agents.  An announcement
notice was published in today's (Friday) Government
Gazette.

     The appointment will be effective from February 1 to
October 31, 1998.

     Mr Ho and Mr Tung are, respectively, the Deputy
Chairman and the Executive Director of the Travel Industry
Council of Hong Kong.

     "The appointment of the new members is desirable to
ensure that the views of the travel industry are fully
represented," a Government spokesman said.

     Mr Ho and Mr Tung will fill the two vacancies
available following the recent resignation of Mr Tam Kai-
on and Mr Harold Wu Tan.

     "We are grateful to Mr Tam and Mr Wu for their
valuable contributions towards the regulation of travel
agents.  We have confidence that the new members will
contribute significantly to the committee," he said.

End


20. Road traffic legislation gazetted
    *********************************

     The Road Traffic Ordinance (Amendment of Schedule 8)
Order 1998 and Road Traffic (Validation of Collection of
Fees) Bill were gazetted today (Friday).

     They aim to restore the paragraph 6(c) of Schedule 8
to Road Traffic Ordinance on the collection of fees
relating to the supply of forms on certificate of
roadworthiness.  Both have been approved by the Chief
Executive in Council.

     Fees on supply of forms on certificate of
roadworthiness was originally paragraph 6(c) of Schedule 8
to Road Traffic Ordinance.  $58 is currently charged.
This paragraph was inadvertently repealed by the then
Legislative Council on November 2, 1995 and came into
effect on November 9, 1995.  The Order aims to restore
this paragraph whereas the Bill aims to validate the
collection of fees from November 9, 1995 to January 23,
1998.

     A Government spokesman said that when considering the
legislative proposal, the Chief Executive in Council had
taken into account the impact of the restoration and the
legislative amendment.

     "It is in the public interest to regularise the
fees," the spokesman said.

End


21. Board amends South West Kowloon OZP
    ***********************************

     The Town Planning Board today (Friday) announced
amendments to the approved South West Kowloon Outline
Zoning Plan (OZP).

     Major amendments to the plan aim to increase the
housing supply in the area by upzoning three sites with a
total area of 5.82 hectares from "Residential (Group A)2"
("R(A)2") to "Residential (Group A)1"("R(A)1") with an
increase in the maximum permitted domestic plot ratio from
5.5 to 6.5.

     Two of the three new "R(A)1" sites, covering areas of
0.69 hectare and 4.3 hectares respectively, are located at
the waterfront near Road D7 in the central part of the
West Kowloon Reclamation while the third site, covering an
area of 0.83 hectare, is near the junction of Road D1 and
Road D10.

     Other amendments include the re-planning of the
southern part of the reclamation area east of the Airport
Railway Kowloon Station and the adjustment of the zoning
boundaries to reflect the latest development proposals for
government use and utility installations.

     About 5.9 hectares of land in this area bounded by
Road P1, Road D11, Road D1 and Road D12 has been rezoned
from "Commercial", "Open Space", "R(A)1" to "Comprehensive
Development Area" ("CDA") for commercial, office and
residential development.  Development restrictions for
this site have been added to the Remarks of the Notes for
the "CDA" zone.

     Another two sites adjacent to the new "CDA" zone have
been rezoned from "Government, Institution or Community"
("GIC") and "R(A)1" to "R(A)2" for private residential
development.  As these two sites are subject to
environmental constraints such as traffic noise arising
from the adjacent trunk road, the maximum permitted
domestic plot ratio for "R(A)2" zone has been reduced from
5.5 to 5.

     Meanwhile, the section of Road D1 between Road D11
and the waterfront area to the south has been realigned to
cope with the zoning boundary of the new "CDA" zone.

     The maximum permitted non-domestic plot ratio for
both "R(A)1" and "R(A)2" zones in this planning area has
been reduced from 1.5 to 1 to maintain a better
residential environment without over-infiltration of
commercial and other non-residential uses.

     Additional sites have been identified for development
of open space and primary schools to meet the development
needs arising from an increase in population from 102,000
to 114,000 due to amendments to the plan.

     Amendments to "GIC" zone including the swapping of
sites are mainly to reflect the latest development
proposals for government use and utility installations.
Minor boundary adjustments are also incorporated to
maintain consistencies with land allocation boundaries.

     The Notes of the Plan have been amended to
incorporate the development restrictions for the new "CDA"
zone, the revised maximum plot ratios for the "R(A)" zone
and the official names of the two Airport Railway Stations
in the area.

     The amendment plan (No. S/K20/4) is available for
public inspection during office hours at:

     *  Planning Department,
        16th floor, Murray Building,
        Garden Road,
        Central,
        (from January 23 to February 28, 1998 inclusive);

     *  Planning Department,
        15th floor, North Point Government Offices,
        333 Java Road,
        North Point,
        (from March 1 to March 23, 1998 inclusive);

     *  Kowloon District Planning Office,
        11th floor, Leighton Centre,
        77 Leighton Road,
        Causeway Bay,
       (from January 23 to February 28, 1998 inclusive);

     *  Yau Tsim Mong District Office,
        ground floor, Mong Kok Government Offices,
        30 Luen Wan Street,
        Mong Kok; and

     *  Sham Shui Po District Office,
        6th floor, West Coast International Building,
        290 Un Chau Street,
        Sham Shui Po.

     Any person affected by the amendments on the plan may
submit written objection to the Secretary of the Town
Planning Board, c/o Planning Department before March 23,
1998 on 13th floor, Murray Building, Garden Road, Central
(from January 23 to February 28, 1998 inclusive); and on
15th floor, North Point Government Offices, 333 Java Road,
North Point (from March 1 to March 23, 1998 inclusive).

     Copies of the draft plan are available for sale at
the Survey and Mapping Office, Lands Department, 14th
floor, Murray Building, Garden Road, Central and the
Kowloon Map Sales Office, ground floor, 382 Nathan Road,
Kowloon.

End


22. TPB to review two OZPs for areas in Southern District
    *****************************************************

     The Chief Executive in Council has recently referred
two approved outline zoning plans (OZPs) for areas in
Southern District of Hong Kong to the Town Planning Board
for amendments, a spokesman for the board said today
(Friday).

     The two plans are namely the Aberdeen and Ap Lei Chau
OZP and the Shouson Hill and Repulse Bay OZP.  Amendments
to the approved OZPs are necessary to reflect the latest
land use proposals for the respective areas to help
provide land for residential developments and improve
control of the development of Nam Fung Road woodland.

     The Aberdeen and Ap Lei Chau OZP (No. S/H15/8) was
last approved by the then Governor in Council on May 6,
1997 and the Shouson Hill and Repulse Bay OZP (No.
S/H17/3) on December 4, 1990.

     "The plans, after revision by the board to
incorporate the latest amendments, will be made available
for public inspection under the provisions of the Town
Planning Ordinance," the spokesman said.

End


23. Works to improve fresh water supply systems
    ********************************************

     The Water Supplies Department will carry out two
mainlaying projects in May to improve the fresh water
supply systems in Yuen Long and Tuen Mun.

     The works will include the laying of about 3.58
kilometres of fresh water mains with a diameter of 140
centimetres and 0.86 kilometre of pipe with a diameter of
180 centimetres along Wang Tat Road, Shan Ha Road, Long
Tin Road and Yuen Long Highway to improve the fresh water
distribution system in Tin Shui Wai.

     Meanwhile, about 2.9 kilometers of fresh water mains,
140 centimetres in diameter, will be laid concurrently
along the same route excluding Wang Tat Road to improve
the supply system in Tuen Mun.

     Both projects are part of the Public Works Programme
to meet the development needs in the areas.  They are due
for completion in about 30 months.

End


24. Red packets distributed to elderly singletons in Wan Chai
    *********************************************************

     The District Officer (Wan Chai), Mrs Elaine Tang,
together with the Assistant District Officer (Wan Chai),
Mr Eric Chan, distributed "Fat Choy" red packets to
selected elderly singletons in the district this (Friday)
morning.

     The distribution of  the 900 red packets, each
containing $80, was organised by Wan Chai District Office
today for invited singletons aged 65 and above. The money
was donated by Sing Tao trust fund.

     Some 700 chosen recipients had been informed by
letter to collect the red packets between 9 am and 4.30 pm
today in the Wan Chai Provisional District Board
Conference Room on 21st floor in Southorn Centre, Wan
Chai. Another 200 red packets will be delivered to the
elderly in Ruttonjee Hospital or recipients who have
difficulty in moving about.

End


25. Hong Kong Monetary Authority tenders
    ************************************

     Tenders to be held in the week beginning February 2,
1998 :


Tender date                 :   3 February 1998

Paper on offer              :   EF Bills

Issue number                :   Q169

Issue date                  :   4 February 1998

Maturity date               :   4 March 1998

Tenor                       :   28 Days

Amount on offer             :   HK$5,000 MN

           ----------

Tender date                 :   3 February 1998

Paper on offer              :   EF Bills

Issue number                :   Q805

Issue date                  :   4 February 1998

Maturity date               :   6 May 1998

Tenor                       :   91 Days

Amount on offer             :   HK$2,000 + 500 MN

End


26. January issue of HK Monthly Digest of Statistics on sale
    ********************************************************

     The January 1998 issue of Hong Kong Monthly Digest of
Statistics with three feature articles on "Salary
Statistics of Middle-Level Managerial and Professional
Employees 1988-97"; "Use of Public Light Bus Services" and
"The Characteristics of Persons from the Mainland Having
Resided in Hong Kong for Less Than 7 Years" is now
available for sale.

     Following is a brief introduction of the three
articles:

"Salary Statistics of Middle-Level Managerial and
Professional Employees 1988-97"
-------------------------------------------------

     The Annual Survey of Salaries and Employee Benefits -
Managerial and Professional Employees (Excluding Top
Management) has been conducted annually by the Census and
Statistics Department since 1984.  This survey collects
information relating to salary rates and fringe benefits
of middle-level managerial and professional employees from
about 200 companies in selected economic sectors.

     Among the major economic sectors surveyed, it is
found that the middle-level managers and professionals
engaged in the "building and construction and related
trades sector" had the highest average annual percentage
increase in salary rate during the past decade when
compared with that of their counterparts in the other
sectors.  Analysed by broad occupational group, employees
engaged in "financial management" enjoyed the highest rate
of increase in salary rate during the same period.

     Besides salary statistics, this article also presents
statistics of various kinds of fringe benefits entitled by
the middle-level managerial and professional employees in
1997.

"Use of Public Light Bus Services"
----------------------------------
     This article presents the characteristics of persons
who had taken trips on public light bus on the day before
enumeration and the details of the respective public light
bus trips taken, based on the findings of a statistical
enquiry on "Patronage of public light buses" conducted
during February to March 1997.  Analysis is made on the
age, sex and activity status of such persons, and on the
number of trips taken by them, type of public light bus
patronized, and the main purpose of taking the trip on the
day before enumeration, etc.

"The Characteristics of Persons from the Mainland Having
Resided in Hong Kong for Less Than 7 Years"
--------------------------------------------------------

     According to the existing one-way permit quota
system, there are 150 one-way permit holders from the
mainland of China coming to Hong Kong every day.  They
account for a significant portion of the population growth
in Hong Kong.

     This article analyses the characteristics of persons
from the Mainland having resided in Hong Kong for less
than 7 years, making use of statistics compiled based on
information provided by one-way permit holders and results
of the 1996 Population By-census.  The demographic
characteristics of the one-way permit holders coming to
Hong Kong during 1990-1996 are analysed in detail.  A
comparison of the socio-economic characteristics of
persons from the Mainland having resided in Hong Kong for
less than 7 years with those of the whole population of
Hong Kong using the 1996 Population By-census results is
also made.

     The January 1998 issue of the Hong Kong Monthly
Digest of Statistics is now on sale at $52 a copy.  In
addition to the above three feature articles, it contains
the most up-to-date information on Hong Kong's development
regarding economic growth, labour market, inflation and
many other social and economic issues.

     The publication can be purchased at the Government
Publications Centre, Ground Floor, Low Block, Queensway
Government Offices, 66 Queensway, Hong Kong and the
Publications Unit of the Census and Statistics Department,
19th Floor, Wanchai Tower, 12 Harbour Road, Wan Chai, Hong
Kong.

     Regular subscription can also be arranged with the
Publications Sales Office of the Information Services
Department (Tel : 2598 8194).

End


27. Two post offices open on January 30
    ***********************************

     Two post offices will be open on January 30 (Friday)
for the sale of postage stamps and acceptance of
Speedpost, registered mail and parcels.

     The General Post Office at 2 Connaught Place and the
Tsim Sha Tsui Post Office at 10 Middle Road.  The opening
hours will be from 8 am to 2 pm.

     Other post offices will be closed during the Lunar
New Year holidays.

     Meanwhile, a special mail delivery would be provided
on January 30.  No delivery service would be made on
January 28 and 29.

     In addition, one mail collection would be arranged on
January 30 for all street posting boxes except those which
are located on outlying islands and in remote areas.  The
time of collection is shown on the time plate of each
posting box.

End





Government Home Page News Update