HONG KONG'S economy faces billions of dollars of losses if major projects to expand its creaking infrastructure are delayed, according to a report published yesterday by the Hongkong Bank.
Warning of the consequences of allowing airport, ports and other essential developments to stagnate, the report describes the inadequacies as a serious threat to the territory's long-term development and its role as an entrepot for southern China.
Work should begin on establishing a co-ordinated infrastructure which bridges the border between Hong Kong and China, the report says.
This should reflect the growing economic integration of the territory and the mainland.
Rapid expansion and surging trade with southern China has stretched Hong Kong's infrastructure to the extent that any delay in planned projects would cause hefty economic losses and slash its regional competitiveness.
Freight and passenger movements have recorded enormous growth in the past 10 years and are expected to keep their momentum in the near future.
To cope with such expansion, Hong Kong must substantially boost the capacity of its infrastructure, the report says.
