D. Helping the Economy to
Power Ahead

71. We have a steadfast commitment to promoting economic development. Following a strong rebound last year, Hong Kong’s economy continues to show very strong growth, with increases in both external trade and domestic demand. Outstanding external trade, coupled with a huge surplus in our recurrent account, underlines Hong Kong’s immense competitiveness as the conduit for trade between China and the world. Increased domestic demand reflects the confidence of local consumers and investors. Employment has reached a new peak, with an increase of nearly 200 000 new jobs in the past two years. Although there will be various risks in global economic development in the coming year, the recovery of our economy on all fronts has proved once again that our abilities to adapt and adjust enable us to overcome any difficulty.

72. Hong Kong is a highly externally oriented economy. Our strategy is to “leverage the Mainland and engage ourselves globally”; to strengthen our advantages; to encourage entrepreneurship and fair competition under the principle of “Big Market, Small Government”; and to consolidate our position as Asia’s world city and our role as a key international financial, trading, transportation and information hub of China. This strategy has delivered significant results and has allowed us to bring into full play our comparative advantages.

73. Helping the economy power ahead at full steam means that we must augment our efforts in all areas where Hong Kong has a comparative advantage. We will strive to consolidate the existing pillar industries. At the same time, we will closely follow changes in the market and respond promptly to the demands of the business sector in new growth areas. We will actively help open up new business opportunities by providing the necessary policy support, regulatory control and infrastructure.