News Stories:

Click-on these handy "jump links" to quickly access the news item
you're looking for.

1. Projects to boost business, jobs

1. Projects to boost business, jobs
Cannix Yau and Matthew Lee, The Standard 1 January 2003

The government yesterday announced 10 projects to boost business in local communities and create over 1,000 jobs.

Chief Executive Tung Chee-hwa said similar measures introduced elsewhere had helped local economies.

``After the Sheung Wan Gala Point started operating, businesses in the surrounding area increased,'' Tung said after touring the Sheung Wan promenade bazaar with Secretary for Home Affairs Patrick Ho yesterday.

``Despite local-community economies being small scale, they bring general economic benefits to society,'' he said.

The 10 projects include a wine festival in Wan Chai; an open-air tea cafeteria along the Sha Tin to Tai Po bicycle corridor; drawing up a tourist route and setting up handicraft shops in the Kowloon Walled City park; and redeveloping the old police station at Lau Fau Shan for bird watching.

A total of 1,000 jobs would be created, Tung said.

``The series of developments will add up to a great benefit for society and the economy,'' he said.

Tung stressed that no extra funding would be provided, but the government would speed up approval procedures.

``Some of the proposed projects might need infrastructure development,'' Ho said.

``Funding for these developments, renovation and maintenance has already been earmarked, [and] we will simply prioritise the funding for those projects.''

He rejected suggestions that boosting the local economies would create competition with existing businesses. ``With over six million people Hong Kong is not a small city, and projects like the Sheung Wan Gala Point can exist in many other districts,'' Ho said. ``We have heard good feedback from the Gala Point stall owners, and demand is still strong.''

He said the government aimed to develop a specific local community economy in every district as the first step towards developing creative industry.

But stall owners at Gala Point and nearby Western Market said customer numbers had dropped recently as more stalls opened.

Central and Western District Councillor Chan Choi-hi said the government should avoid developing similar, competing local businesses and instead encourage areas to specialise.

Chinese University of Hong Kong marketing professor Leo Sin said there was a lack of coordination in developing local businesses.

``Consumer power has not increased,'' Sin said, warning that flea markets could drag down retail business and reduce the number of jobs in the long term, despite initially creating short-term jobs.