Gov't Supports HK Economy: FS

Financial Secretary Paul Chan today said that the Government should use its financial resources to support Hong Kong businesses and relieve the people’s burden during the current economic downturn.

Attending a radio phone-in programme to talk about his 2020-21 Budget this morning, Mr Chan said the proposed $10,000 cash payout would stimulate the economy.

He said: “We are all witnessing a sharp downturn in our economy with the social unrest since the middle of last year, and coupled with the current coronavirus attack. The economy is suffering, certain sectors, particularly, say for example restaurants, consumer spending and retail sectors are hard hit.

“The idea of handing out this cash is that when this current epidemic is over, let’s come out to spend, to stimulate our economy and help our own businesses. By helping our own businesses, supporting the businesses, we would be able to safeguard jobs. That is the central theme of this $10,000 handout.”

Mr Chan emphasised that the current number one priority of the Government is to prevent and fight the coronavirus epidemic, adding it should also use its financial resources to help the economy.

“Over the years we have accumulated over $1.1 trillion in our fiscal reserves. This is the time when people are suffering, when the economy is suffering, we make good use of that money to help people out to help ride out this particular period of difficulty.”

The finance chief explained the Government understands the economy is in a critical situation and plans to start the registration for the payout in early summer and begin to make payments in late summer.

“We have already started our dialogue with the banks to appeal to them to start their work early to prepare for the modification of their computer systems to interface with ours.

“So we are very confident at this stage we will be able to put the money into the hands of the people a lot earlier.”