Issued by Hong Kong Special Administrative Region Government Information Services
Garden Road, 5th-8th Floors, Murray Building, Hong Kong. Tel: 2842 8777
Saturday, February 14, 1998 CONTENTS ======== 1. CE's letter from Hong Kong 2. White Paper on Long Term Housing Strategy 3. HA strives for early implementation of LTHS proposals 4. Medium-term trend GDP growth rate explained 5. All imported live chickens are tested healthy 6. Increase in Expenditure in security matters 7. Pakistani Prime Minister to visit HK tomorrow 8. Update on avian flu 9. Tuen Mun District Festival launched 10. Hong Kong Mathematics Olympaid 1. CE's letter from Hong Kong ************************** Following is the translation of the full text of the letter from the Chief Executive, Mr Tung Chee Hwa, broadcast on RTHK's Radio 1 this (Saturday) morning: Dear Mary, Thank you for your letter. I really appreciate your care and concern for me and Hong Kong. As you have mentioned, the Asian financial turmoil has dealt a hard blow to Hong Kong's economy recently, putting Hong Kong to the severest test it has ever experienced. Hence, deriving measures to cope with this unexpected challenge has been a task of utmost priority for me and my colleagues over the past few months. People tend to become pessimistic and lose confidence in adverse circumstances. As you know, I always say that it is important to cast your worries aside and be positive at times of adversity. Once the storm is over, we will become stronger and more capable. This enterprising spirit is what Hong Kong needs at the moment. In fact, we have upheld this spirit all along. By bringing the enterprising spirit into play, we will surely be able to weather the storm and enjoy blue skies. Recently, although the development of events in Indonesia has yet to become clear, the financial situations of other Asian countries have gradually stabilised. I very much hope that the most difficult time is over. Our economy has a truly solid foundation. Hence, once the financial situations of our neighbouring economies become stable, our economy will recuperate very quickly. Over the years, our economy has been plagued by problems such as soaring property prices, high inflation and negative interest rates. Unless we take steps to rectify them, the growth of our economy will be seriously impeded. When the present readjustment of our economy is completed, Hong Kong will stand even stronger than before and will scale new heights at a steady pace. The Government is duty-bound to relieve the public of their plight at times of economic depression. In the next four and a half years, we will invest $235 billion in infrastructural development, with a view to stimulating economic growth, raising the competitiveness of Hong Kong, increasing land supply and providing more job opportunities. This amount exceeds by a huge margin the sum of $155 billion which we have invested in the new airport over the past seven years, indicating that infrastructural projects to be taken up in future will be of a much larger scale. We will definitely hold fast to the principle of prudent financial management. However, we will also take all possible steps to help pull the public out of their present plight. In the next financial year, we will adopt appropriate measures, where possible, to ease to varying degrees the burdens of the people. The financial turmoil has dealt a great blow to our property market, causing property prices to drop abruptly. Should this phenomenon continue, our banking system will be affected. In such circumstances, stabilising property prices is of utmost importance to our economy. We have recently reiterated to the public that the Government is determined to implement the long term housing policy. For private sector housing development, the Government will launch the land sales programme flexibly. On the other hand, we will certainly secure a sufficient supply of public sector flats and provide financial assistance to potential home buyers, with a view to meeting the demand of the general public. In addition, we will strive to develop and form more land and to boost our land reserves in a proactive manner so as to ensure that property prices remain stable. By doing so, we can look after the long term interests of the general public as well as reduce the volatility of the property market, thus ensuring a steady development of our economy. When you last came back from New York to see us, I told you I was particularly concerned about the housing problem in Hong Kong. 'A comfortable home and a satisfactory job' is what we, the Chinese, always long for. On the first day of the Lunar New Year, I visited two families, the Chans and the Lams in the public housing estates in Ma On Shan. Each of the families has two lovely daughters and lives in a flat of 400-odd square feet. They told me they were happy with the Government's proposed sale arrangements under the 'Tenant Purchase Scheme' and intended to purchase their units from the Housing Authority. It has taken my colleagues much effort to draw up this Scheme. I am very pleased to experience such an enthusiastic response from the public. I remember that I sought your advice before making the decision to contest the office of Chief Executive. You gave me great support. You know I am a person who adheres to principles and I also have my own belief. Since assuming office, I have held firmly to three values. Firstly, Hong Kong must be a caring society and the Government must work for the long term benefits of the people. Secondly, our policies should give more weight to enhancing the competitiveness of Hong Kong so as to ensure sustained economic growth and create more wealth for the community. Thirdly, we must be fair and reasonable. In fact, I consult all parties concerned and discuss thoroughly with my colleagues before making any decision. I always stick to these three values when the final decision is made. I am in good health and I practise tai chi every day. Sometimes, Betty and I and other members of the family spend a nice weekend together at Fanling Lodge. Tonight, Betty and I are going to see an opera organised by the Hong Kong Arts Festival. I can squeeze time from my tight schedule for entertainment. So, please put your mind at ease about my well-being. I hope that you and your family will come to visit us again this summer. All the best to you and your family. Yours ever Chee Hwa End 2. White Paper on Long Term Housing Strategy ***************************************** The Government published today (Saturday) a White Paper on Long Term Housing Strategy, entitled "Homes for Hong Kong People into the 21st Century". The Secretary for Housing, Mr Dominic S W Wong, said that the White Paper built upon the basic principles set out in the consultative document on Long Term Housing Strategy Review issued in January last year, and the initiatives announced by the Chief Executive in his first Policy Address on October 8, 1997. Among these initiatives are building not less than 85,000 flats a year in the public and private sectors, starting from 1999-2000, as a long-term target to meet the future needs of the community; achieving a home ownership rate of 70% by 2007; and reducing the average waiting time for public rental housing to three years by 2005. "The White Paper takes into account public comments on the consultative document, and brings together the Government's housing policy initiatives into a coherent whole", Mr Wong said. "The result is a blue-print for housing policy in Hong Kong into the 21st Century." The White Paper reaffirms the Government's basic housing policy objectives of helping households gain access to adequate and affordable housing, and of encouraging home ownership in the community. Separate chapters deal with housing demand and supply, the Government's flat production programme, the role of the private sector, home ownership, public rental housing, and groups in special need. Mr Wong highlighted key features of the White Paper at a press conference this (Saturday) morning, following a briefing for members of the Provisional Legislative Council. "In drawing up our housing strategy, it is crucial that housing demand be estimated more accurately. Our computer model shows that demand will average about 80,000 flats a year over the next decade. Our housing target of 85,000 flats a year thus provides a reasonable safety margin," Mr Wong said. He said that to meet demand, the Government will secure a steady and sufficient supply of land and put supporting infrastructure in place in good time. "We have also simplified development procedures for both the private and public sectors, and have cut back significantly the lead time for Housing Authority and Housing Society projects." The White Paper confirms that the Government intends to publish a 13-year flat production programme later this year, and to roll it forward annually. "Flat production for the first eight years of the programme, up to 2004-05, has already been announced," Mr Wong added. He emphasised the importance of this long term programme. "In addition to land and infrastructure, we need a sophisticated inventory of housing sites, a clear delineation of responsibility for the delivery of housing projects and an efficient system for solving problems relating to flat production. We have now put this entire system in place," Mr Wong said. Mr Wong also noted that the White Paper recognised the role of the private sector in meeting the housing needs of the community. "By developing new land, redeveloping and buildings and applying for land exchange and lease modification, private developers should be able, subject to market developments, to produce 35,000 flats a year from 2000 onwards." He emphasised that the actual number of flats produced in any particular year could vary, depending on market demand and decisions taken by private developers. "The White Paper also describes how the Government will provide developers with the opportunity to contribute to the public housing programme, for example through the 'mixed development' concept," Mr Wong added. The Secretary said that a key chapter of the White Paper was devoted to the Government's pledge to achieve a home ownership rate of 70% by 2007. "Over the years, the Government has implemented a series of subsidised home ownership schemes to help low and middle-income families to own their own homes. These schemes have been enthusiastically received. We intend to continue with them and, where appropriate, expand them," Mr Wong said. Mr Wong said that the White Paper brought together a number of recent initiatives to increase home ownership, including the Home Starter Loan Scheme targeted at first time home buyers, and the Tenants Purchase Scheme, under which the Housing Authority will sell rental flats to existing tenants. The Government will in future also offer all prospective public housing tenants the opportunity to buy public flats at subsidised prices. "This drive for wider home ownership in the community will foster social stability and a sense of belonging, and help families to provide for their own financial security," he said. The White Paper emphasises the Government's continuing commitment to provide public rental housing to families in genuine need. "The Government will increase the number of flats allocated to families on the public housing waiting list, and will allocate public housing resources in accordance with the principle of equity," Mr Wong said. "This will enable us to reduce the waiting time for public rental housing to meet the target announced by the Chief Executive." The White Paper also deals with special need categories, such as the elderly and new arrivals from the mainland of China. "As a result of the forward-looking initiatives in the White Paper, a scenario of optimism will emerge. "There will be a more equitable system of allocation of public rental flats, which together with an increased number of flats available for allocation, will shorten the waiting time for families on the Waiting List, thus benefiting people in genuine need. "Existing and prospective public housing tenants will have greater opportunities to purchase their own homes," Mr Wong said. "Families in the private sector too will find it easier to satisfy their aspirations to home ownership as flat supply increases and property prices stablise, while the Government will provide help to eligible families through it subsidised home ownership schemes and loan scheme. "Private sector developers will be given every opportunity to contribute fully towards meeting the housing needs of the community. Overall, there will be more equitable use of public resources and greater choices of housing for all," Mr Wong said. Copies of the White Paper can be obtained at District Offices and the Government Publications Centre as well as the Hong Kong Government Home Page on the Internet (http://www.info.gov.hk/hb/) starting next week. End 3. HA strives for early implementation of LTHS proposals ***************************************************** The Chairman of the Hong Kong Housing Authority, the Honourable Rosanna Wong, said today (Saturday) that the Housing Authority (HA) is looking forward to working with the Government on the implementation of the Long Term Housing Strategy contained in the White Paper which was released today. "Details and schedule of execution of the various housing issues stated in the paper will be studied by relevant HA Committees to strive for early implementation of those initiatives," Ms Wong said. HA put forward a submission to the Government last June outlining a number of important issues and strategies for the coming decade. End 4. Medium-term trend GDP growth rate explained ******************************************* In response to media enquiries about the medium-term trend GDP growth rate, a Government spokesman today (Saturday) explained that this reflects the Government's view on Hong Kong's outlook for economic growth extending from the current year over the next three years, but abstracting from any shorter-term fluctuations in growth due to cyclical changes in economic conditions or temporary factors. "The trend GDP growth rate for the Hong Kong economy in 1998-2001 is forecast to average at five per cent per annum. This has taken into account the growth and development trends in both the domestic economy as well as the external sector, including Hong Kong's major trading partners, in particular the Mainland of China and the United States, both of which maintain solid economic growth. "It is considered that, notwithstanding the setback caused by the current regional financial turmoil, the prospects beyond the near term remain good for the Hong Kong economy, and the economy should be able to rebound quickly once the regional situation settles." The spokesman noted that Hong Kong's GDP growth rate averaged at 5.1 per cent per annum both over the past five years (1993-1997) as well as over the past ten years (1988-1997). The projected medium-term trend GDP growth rate of five per cent per annum is therefore considered reasonable. The spokesman pointed out that the planning of government expenditure, especially recurrent expenditure, should be based on the medium-term trend growth rate of the GDP rather than the short-term GDP growth rate which tends to fluctuate from year to year. This will ensure stability in government expenditure in line with community needs, whilst keeping it within what the economy can afford. End 5. All imported live chickens are tested healthy ********************************************* The following statement was issued today (Saturday) by the Agriculture and Fisheries Department (AFD) in response to press enquiries on an alleged positive H5 sample: A spokesman for AFD said: "No chicken has been tested positive for the H5 avian flu virus since the resumption of live chickens from the mainland on February 7. "Only one sample from a consignment of 1,500 chickens originated from a farm in Shenzhen reacted to testing yesterday (Friday). And acting according to procedural guidelines, AFD staff collected an additional 30 samples for further testing. "All further tests on the additional samples were negative. Moreover, AFD veterinary officers conducted clinical examination of the consignment and found that all the chickens showed no clinical signs of disease. "It was concluded that the reaction of this particular sample to testing was not specific to the H5 virus." The spokesman stressed that the sampling and testing procedures for imported chickens are working smoothly as intended and that there was no breakdown of communication between AFD's Man Kam To Animal Inspection Station and the Cheung Sha Wan Temporary Poultry Wholesale Market as reported by a morning daily. He pointed out that AFD had always planned if samples from one consignment originating from one particular farm reacted to H5 testing, other consignments originating from the same farm on the same day would be subject to further examination even though earlier sample testing had shown negative result. He said AFD veterinary officers also conducted clinical examination on a consignment from the same farm last night and found that the consignment also showed no clinical signs of disease. End 6. Increase in Expenditure in security matters ******************************************* Protecting the public against fire hazards will be one of the top priorities in the coming year, the Secretary for Security, Mr Peter Lai, said today (Saturday). Outlining resources that have been allocated to security matters under the 1998/99 Draft Estimates of Expenditure, Mr Lai said, "We will provide 114 posts for the Fire Services Department and 23 posts for the Buildings Department to implement the package of measures to improve fire safety, including legislation, stepped-up and better coordinated inspections, and community involvement and publicity programmes to promote a fire safety culture." "We are planning to set up a $200 million Fire Safety Improvement Fund to provide assistance to owners of prescribed commercial premises and specified commercial buildings who are required by legislation to upgrade the fire safety standards of their premises and buildings," he said. On fire fighting, he said 400 additional posts had been provided in the past two years for improving fire fighting capabilities territory-wide. "Having achieved the performance target in 1997, we will raise our target from responding to 91 per cent of fire calls within graded response time to 92.5 per cent in 1998," he said. In 1998/99, a further 256 new posts would be provided, of which 53 posts were for secondment to the Airport Authority Hong Kong. On ambulance service, Mr Lai said while FSD had been able to maintain their performance in the past three years at about the 90 per cent level, 132 posts had been secured in 1998/99 to improve the service. "We will have fully equipped ambulance fleet with automatic external defibrillators by the end of 1997/98 and will continue to arrange for our ambulanceman crews to receive paramedic training," he said. In the coming financial year, $27.3 billion or 9.5 per cent of total public expenditure will be spent on security. "Of these, about $23.4 billion have been earmarked for departments under my policy responsibility," Mr Lai said. "The amount represents an increase of 4.8 per cent in real terms when compared with that in 1997/98, despite no defence costs contribution and expenses and decreasing expenditure on Vietnamese migrants," he said. Other than fire services, much of the additional resources, Mr Lai said, would go to the following initiatives: * strengthening law and order and general policing; * providing additional posts to cope with the anticipated demand for immigration and customs clearance at the new airport and the River Trade Terminal in Tuen Mun; * strengthening the rehabilitation and aftercare services; and * redevelopment of Stanley Prison area to relieve prison overcrowding Noting that Hong Kong's crime rate in 1997 was the lowest in 24 years, Mr Lai said, "Much of these good results were attributable to our efforts in strengthening Police front-line operational capabilities. "We will continue to do so in 1998/99. We will provide 235 Police posts to further strengthen the Police presence on the streets; 70 Police posts to enhance the front-line coverage of new infrastructures; and 97 Police posts to reinforce the Police's capability in crime intelligence and detection." On modernising the Police Force, Mr Lai said $84 million would be used in 1998/99 to replace the Marine Police radio network, $67 million to procure new patrol launches and upgrade the facilities of existing launches; and $27 million to enhance the Police communications systems. On prison overcrowding, Mr Lai said the Government had been taking steps to alleviate the problem. "Up to the end of 1997, we have created 1,700 additional penal places and managed to bring the overall overcrowding rate to about 20 per cent, as against 28 per cent in 1995," he said. In addition, a series of measures, including proceeding with phase II of the Stanley Prison redevelopment project, redeveloping the Tai Lam Correctional Institution and pursuing a project to construct a new prison complex at Yam O, were in the pipeline. "With the implementation of all the projects, we project that there will still be a shortfall of 1,700 prison places in the year 2003. We are actively identifying suitable sites to build an additional prison to meet the projected shortfall," Mr Lai said. On rehabilitation services for offenders, Mr Lai said an Assistant Commissioner post had been created to head a new Rehabilitation Division in the Correctional Services Department and 35 additional posts would be provided in 1998/99 to strengthen the aftercare programmes and statutory prison sentence review schemes. On immigration matters, Mr Lai said performance pledge in processing travellers at immigration control points had been met. "To ensure that this momentum is maintained, we will provide in 1998/99 53 posts for the Immigration Anchorage Office of the River Trade Terminal in Tuen Mun and 22 posts for the setting up of dedicated immigration facilities in the Business Aviation Centre, the CPA Building and the VIP suite of the new airport. "We will also provide 56 additional posts to process Right of Abode claims and Chinese nationality matters." he said. On customs service, Mr Lai said 229 posts would be provided in 1998/99 to cope with increase in demand for customs clearance service, 23 posts for the setting up of dedicated customs facilities in the Business Aviation Centre in the new airport and an additional 120 posts for customs service at the River Trade Terminal at Tuen Mun. Other allocations include $5 million for the continued operation of a residential treatment centre for young drug abusers and $1 million for the establishment of an additional counselling centre for young psychotropic substance abusers. "We have included sufficient provisions in the Draft Estimates to enable the departments within my policy portfolio to fulfil their policy and operational commitments," Mr Lai said. End 7. Pakistani Prime Minister to visit HK tomorrow ********************************************* The Prime Minister of Pakistan, His Excellency Mohammad Nawaz Sharif, will arrive Hong Kong tomorrow (Sunday) for a three-day visit. The Prime Minister is travelling with his wife and daughter, and a party of about 90 persons. During his stay in Hong Kong, the Prime Minister will attend a number of private and official functions on Monday (February 16). These include meeting with local Pakistani community leaders and representatives, delivering a keynote speech at a Trade Development Council conference and attending an official banquet to be hosted by the Chief Executive, Mr Tung Chee Hwa at Government House. Meanwhile, Mrs Sharif will visit the Museum of Tea Wares at Hong Kong Park on the same day. The Prime Minister will leave Hong Kong on Tuesday (February 17). End 8. Update on avian flu ******************* The Department of Health (DH) announced today (Saturday) that there were no new cases 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 February 10. End 9. Tuen Mun District Festival launched *********************************** The Tuen Mun District Festival '98, featuring a rich programme of cultural and recreational activities, was launched today (Saturday) at Tuen Mun Tang Shiu Kin Sports Ground. Speaking at the Festival kick-off ceremony, the acting Director of Home Affairs, Mr Lui Hau-tuen, expressed the hope that the month-long event will not only provide joy and entertainment to participants and spectators alike, but that it will also bring the residents closer together and create a stronger sense of belonging to the district. A total of 17 activities, including carnivals, exhibitions, parade and sport and cultural activities as well as open days at several government departments, will be staged. The Festival was organised by the Tuen Mun Festival '98 Organising Committee with the assistance of the Tuen Mun District Office. After the opening ceremony, a large-scale variety show was presented by ATV artistes. Among the officiating guests were the Director of Regional Services Department, Mr Adolf Hsu; Vice-chairman of the Provisional Regional Council, Mr Kan Chung-nin; Chairman of Tuen Mun Festival '98 Organising Committee, Mr Lau Wong-fat and acting Chief Executive Officer of ATV, Mr Kenneth Kwok. The Festival, to end on March 10, will cost an estimated $2.6 million, of which $1.2 million was funded by the Provisional Regional Council and $0.6 million by the Tuen Mun Provisional District Board, with the rest covered by local donations. End 10. Hong Kong Mathematics Olympaid ****************************** A total of 1,110 secondary students from 185 schools this (Saturday) morning participated in the heat event of the Fifteenth Hong Kong Mathematics Olympaid (HKMO). Jointly organised by the Mathematics Section of the Advisory Inspectorate Division, Education Department and the Department of Mathematics of the Hong Kong Institute of Education, the heat event of the 15th HKMO was held at Belilios Public School, Tsuen Wan Government Secondary School and Sheung Shui Government Secondary School. The heat event is divided into two parts: individual and group events. Each team consists of four to six students of Secondary 4 level or below. Any four of them may take part in the individual events and any four of them may take part in the group events. The 40 teams with the highest scores in the heat event will enter the final which will be held on March 14 and will also be invited to participate in a two-day Mathematics Camp in April 1998. End
