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HK chief delivers 2009-10 policy address

(Xinhua)
Updated: 2009-10-14 14:49

HONG KONG: Hong Kong Special Administrative Region (HKSAR) Chief Executive Donald Tsang delivered on Wednesday a policy address at the Legislative Council, outlining the policy direction in the coming year.

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In the annual policy address titled "Breaking New Ground Together," Tsang said Hong Kong was hit hard by the global financial turmoil and the economic downturn but the Hong Kong people "has done a great job in keeping the ship afloat."

"I am confident that, for the rest of the year, our economy will improve further and gradually recover," he said.

Hong Kong, one of the world's freest economy, recorded sharp declines in its GDP and external trade during the downturn. The economy reversed four quarters of contraction in the second quarter to record a quarter-on-quarter growth of 3.3 percent, boosted by forceful stimulus measures and benefiting from the strength of the mainland economy.

Tsang said challenges remained ahead for Hong Kong to maintain its status as a global financial center and increase its competitiveness as a trade center.

"Hong Kong must constantly enhance its competitiveness and continue to evolve into a high value-added, knowledge-based economy to maintain its leading edge over global competitors and create more quality jobs," he said.

Tsang outlined plans to promote the innovation and knowledge-based industries, including the six industries recommended earlier by a task force, such as education services, medical services, testing and certification, environmental industries, innovation and technology, and cultural and creative industries.

Tsang said the innovation and knowledge-based industries also included the traditional pillar industries such as financial services, tourism, trading and logistics, and professional services.

"In order to sustain their development, we must try every means to enhance the flow of people, goods, capital and information that are related to the four pillar industries," he said.