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HK 2004 Economy Expected to Rise 7.5%

Hong Kong's third quarter economic growth figures will confirm that Hong Kong is on track to a 7.5 percent full year growth rate, Financial Secretary Henry Tang said Thursday.

 

Speaking at the 11th Annual Hong Kong Business Summit, Tang said the Hong Kong Special Administrative Region government might not need additional measures to reach fiscal balance so long as it continues its expenditure restraints.

 

Tang said Hong Kong's economy has finally turned the corner and is now onto a broad-based recovery.

 

"Our economy has created more than 100,000 jobs in the past year, and businesses are now complaining about shortages and higher turnovers of some professionals, such as accountants," said Tang.

 

The growth of investment in industrial machinery for manufacturing use has been rising very rapidly since early this year, registering 18 percent in the first quarter, 12 percent in the second quarter, and a whopping 33 percent in the third quarter.

 

Although Tang remained cautiously optimistic about Hong Kong's economy in 2005, he said there are many challenges ahead, including how to tackle the effects of Hong Kong's economic restructuring and how to maintain Hong Kong's competitiveness.

 

The city's economic future will continue to be subject to global economic cycles, he stressed.

 

(Xinhua News Agency November 26, 2004)

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