Chief Executive cites positive economic developments
Updated at 12.01pm: Chief Executive Donald Tsang Yam-kuen opened his annual policy address on an upbeat note on Wednesday ? saying the last year had seen a number of positive developments for Hong Kong.
He also emphasised his drive for strong governance, a concept he introduced in last year?s address.
In his second policy address since becoming chief executive early last year, Mr Tsang noted that Hong Kong?s economy was buoyant, the fiscal deficit had been cut and closer ties were being forged with the mainland through the Closer Economic Partnership Agreement (Cepa) and the Individual Visit Scheme.
Before beginning the policy address, the chief executive was interrupted by pro-Democratic legislator Leung Kwok-hung (?Long Hair?), who loudly called for a minimum wage to be introduced into Hong Kong.
Unfazed, Mr Tsang opened the speech by saying: ?This is the last Policy Address of my term of office; I will report the progress of work over the past year.? Mr Tsang said since last year?s address there had been some important developments in Hong Kong.
?Cepa has continued to grow, with new measures introduced this year in the areas of trade and commerce, professional services and facilitation of investment.
?The Individual Visit Scheme has gradually expanded to cover all provincial capital cities in the Pan-Pearl River Delta. We have recently received further approval from the Central Authorities to extend the scheme to cover Shijiazhuang in Hebei, Zhengzhou in Henan, Changchun in Jilin, Hefei in Anhui and Wuhan in Hubei,? he added. He said the Hong Kong economy had grown steadily last year. ?The government has accelerated the pace of public investment to create more development and employment opportunities.
?With the support of the Legislative Council, we have started the tendering process for the Tamar Development Project, which covers the Central Government Complex, the Legislative Council Complex and public open space.? He said the extension of the Hong Kong Convention and Exhibition Centre has also commenced.
?The merger of the Kowloon-Canton Railway and Mass Transit Railway systems will facilitate the rational expansion of our rail network. The Stage 3 consultation on the Kai Tak Planning Review ended in August. The public generally supports the development of a cruise terminal at the tip of the former runway,? Mr Tsang said.
The chief executive said that during the past year, fiscal balance had been restored.
?Total government spending in the 2005-06 financial year was reduced to 16.4 per cent of our gross domestic product [GDP],? he added.
Mr Tsang said the main reason was the reduction of the size of the civil service as well as civil service salaries. ?The civil service establishment now stands at about 160,000, with salaries brought back to 1997 levels. Government departments have implemented effective cost-saving measures whilst maintaining high quality services.? Mr Tsang said last year?s policy address had raised the concept of ?strong governance for the people?.
?In the past year, I diligently put this concept into practice,? he claimed.
?The purpose of strong governance is to serve the people. Strong governance means building up a culture of decisiveness as well as effective policy execution in responding to the demands of the people,? he said.
