Hong Kong companies and ordinary folk are again being asked to dig deep into their pockets - with a conservative target of HK$10 million amid the current economic turmoil.

Every dollar raised will benefit 13 charitable groups in the 21st annual campaign. With the money raised in the next 11/2 months, the 13 charities and their innovative programmes will be able to improve the lives of more than 120,000 people for a year.

'This year, because of the financial turmoil, we are a little concerned that donations may be harder to come by,' Post editor C.K. Lau said at last night's launch. 'But we are still hopeful, as we believe that the people of Hong Kong are ready to chip in when they know there are good charitable programmes worthy of their support.'

Part of the funds raised would go to the SCMP Homes for Hope project to help the victims of the devastating earthquake in Sichuan to rebuild their homes, he said.

Director of Broadcasting Franklin Wong Wah-kay said there were special challenges this year but they would be overcome by Hong Kong's renowned can-do spirit.

'Thousands of people in Hong Kong generously donate their time and money to good causes at this time of year - millions of dollars in fact,' he said. 'That money is often raised by people enjoying themselves, whether by playing golf, singing carols or joining quizzes.'

Major donors who helped the campaign in the past were willing to give. '(They) have said times may be hard, but thank goodness for Operation Santa Claus. It is something happy and something positive when everything else is gloomy.' Ever optimistic, Ocean Park chairman Allan Zeman said: 'This is the time to be positive, to have confidence in ourselves, it is a time for everyone to pull together.'

Selina Tsang Pou Siu-mei, wife of Chief Executive Donald Tsang Yam-kuen, said the community had weathered storms and that 'a strong community is held close by the spirit of generosity'.

Singer-songwriter Ivana Wong Yuen-chi, Operation Santa's ambassador, said the campaign meant a lot to her. 'It is a unique, meaningful event as it raises money for less privileged people, especially during a (financial) tsunami,' she said.

Jean Seabrock, vice-president of JP Morgan, said she believed donors would rise to the occasion to help the needy. 'As long as we can pull together and get together, we can make an impact,' she said.

Danielle Gernandt, of Merrill Lynch, a corporate donor for 11 years, said: 'It is something that we have been involved in for a long time. People will be disappointed if we do not do it this year.'

Former chief secretary Anson Chan Fang On-sang said: 'Everybody knows that Operation Santa Claus is there to help the needy and disadvantaged, and the money is put to good use. With the financial crisis there is a particular need for people to give generously so those in need can be helped.'

A committee selected the charities from 88 applicants based on their background, status as charitable organisations and their proposed project's impact.

'For lots of charities, they do very good work and do struggle to get donations,' said The Samaritans director Liz Chamberlain. 'So why should people donate? Because it helps the little charities to be able to carry on and a lot of them are unsung heroes. They do all this work and people don't actually know about them.'

Charities should ensure every dollar donated worked hard. 'What the charities have got to guarantee to the donor is that every dollar they receive they will make work very hard, that it is not going to be squandered.'

Hong Kong Unison's executive director, Amy Ho Kit-fan, said: 'To do some charity to help others is the spirit of Hong Kong people.'

The work of the 13 beneficiaries of Operation Santa Claus is mostly unheralded, with their staff and volunteers quietly working on society's fringes trying to make a difference in the lives of those who need help.

In the past 20 years, Operation Santa Claus has raised more than HK$110 million for charity.