 |
| No.9 December, 2009 |
|
| |
|
| |
Hong Kong's prospects shine brighter |
|
| |
|
|
| |
 Hong Kong’s Secretary for Commerce & Economic Development, Mrs Rita Lau, has urged exporters to continue to be cautious despite signs of a global economic recovery.
Mrs Lau said merchandise exports continued to be unsteady although the Hong Kong Government was committed to ongoing support for export businesses.
Speaking at a recent address to the Hong Kong Exporters’ Association, Mrs Lau said the government would continue to make available trade finance to enterprises and had extended a HK$100 billion (A$14.3 billion) special loan guarantee scheme until June 30, 2010.
|
|
| |
|
|
| |
Mrs Lau said the Christmas season was usually the export trade's peak period but it instead faced challenges 12 months ago with weak demand caused by the Global Financial Crisis.
"The global financial crisis resulted in weak overseas demand and drastic decline in international trade. As an open and export-oriented economy, Hong Kong was hit hard,” Mrs Lau said.
"To deal with the crisis, the Government has adopted the strategy of 'stabilising the financial system, supporting enterprises and preserving employment'.
"As the external economic environment began to stabilise and our relief measures started to take effect, the Hong Kong economy improved in the second and third quarters. This Christmas we see a brighter economic prospect than what we saw last year. “
Mrs Lau said while the global economy had entered the initial stage of recovery, merchandise export performance remained unsteady.
"As the recovery path ahead could be bumpy, there are reasons for us to be cautious," she said.
"We consider it appropriate to continue to enhance availability of trade finance to our enterprises, many of which are still coping with the impact of the financial crisis.
Mrs Lau said the six-month extension of the loan guarantee scheme, which was introduced to help enterprises tie over the credit crunch, could lay a solid ground to deepen the economic recovery.
She said the Hong Kong Export Credit Insurance Corporation had launched various measures to strengthen support for exporters, including providing higher covers for exporters where risks allowed.
For a number of emerging markets, such as United Arab Emirates, Kuwait, Chile, Brazil, the Czech Republic, Malaysia, Uruguay and Morocco, higher covers are provided and lower premiums are required. Moreover, the processing time for credit limits applications have been shortened.
"Our experience in the latest financial crisis tells us how much prosperity suffers when trade suffers," Mrs Lau said.
"We firmly oppose protectionist measures which hinder free flows of goods and services and remain a staunch supporter of free trade."
Mrs Lau said import demand in advanced economies remained sluggish and Hong Kong would continue to seek out new opportunities, especially in emerging economies.
Last month, Hong Kong and New Zealand concluded negotiations on the Closer Economic Partnership Agreement (CEPA), which is set to take effect from the first half of 2010.
The agreement will be Hong Kong's first free trade agreement with an overseas economy, providing Hong Kong exporters with better access to the New Zealand market, promote investment flows, and bring about significant benefits to both economies.
Mrs Lau said China remained the world’s fastest growing market and one that could not be ignored. The Central Government's policy of encouraging domestic consumption was creating huge business potential for Hong Kong enterprises through the CEPA.
"Hong Kong is used to competition and challenges. With our resilience and determination, we have already sailed through the worst time of the latest financial crisis,” she said.
"There may still be uncertainties and difficulties lying ahead of our recovery path. But let's remind ourselves, Hong Kong has always emerged from different crises with renewed visions and strengths."
|
|
| |
|
|
|
| |
 |
|
|
| |
|
|
|
| |
|
|
|
|
|
