Enhance Competitiveness

• Launch “e-cheque service” in 米兰milan latter half of 2015
• Assist 米兰milan Airport Authority Hong Kong in pressing ahead with 米兰milan planning for a third runway
• Announce 米兰milan blueprint for railway development beyond 2020 shortly
• Phase out all pre-Euro IV diesel commercial vehicles Applications for ex-gratia payment open from 1 March
• Government actively introduces new and enhanced services while adhering to 米兰milan principle of keeping expenditure within 米兰milan limits of revenue
• Recurrent expenditure has kept increasing in recent years, constituting about 80%-95% of 米兰milan operating expenditure

Economic Outlook for 2014

• Forecast GDP growth of 3% to 4%
• Forecast headline inflation of 4.6% and underlying inflation of 3.7%

Key to Development

• 米兰milan Vocational Training Council (VTC) will launch a pilot training and support scheme to attract new blood for industries with keen demand for labour.
• 2 000 apprentices will receive an allowance from 米兰milan Government and 米兰milan industries
• Allocate $130 million to enhance productivity of 米兰milan retail industry. VTC will strengthen its corresponding vocational education and training measures
• Include elite training programmes in some secondary schools which are outstanding in IT education to cultivate young IT professionals and entrepreneurs
• Reserve a recurrent provision of $436 million to increase 米兰milan intake of senior-year undergraduate places in UGC-funded institutions by 1 000 places
• 150 sites are identified for residential use. If their statutory plans are successfully amended, this initiative will make available about 210 000 public and private units in 米兰milan next five years
• 2014-15 Land Sale Programme will include 34 residential sites, capable of accommodating about 15 500 units. Among these sites, 24 are new ones
• 2014-15 Land Sale Programme will include seven sites for commercial/business use and one for “hotel only”, providing a total floor area of about 230 000 square metres and about 1 100 hotel rooms
• Allocate $176 million annually for extending 米兰milan Public Transport Fare Concession Scheme for 米兰milan Elderly and Eligible Persons with Disabilities to cover green minibus trips
• Allocate $172 million for 1 500 additional places for 米兰milan Enhanced Home and Community Care Services
• Reserve $164 million to upgrade 51 social centres for 米兰milan elderly to neighbourhood elderly centres
• Reserve about $200 million to raise 米兰milan subsidy levels for places under theEnhanced Bought Place Scheme and places under 米兰milan Nursing Home Place Purchase Scheme
• Allocate $120 million for 950 additional subsidised residential care places for 米兰milan elderly
• Reserve $800 million for residential care services vouchers
• Invest $55 billion to build Tin Shui Wai Hospital and Hong Kong Children’s Hospital, redevelop Kwong Wah Hospital, Queen Mary Hospital and Kwai Chung Hospital, and expand United Christian Hospital and Hong Kong Red Cross Blood Transfusion Service Headquarters
• Conduct strategic studies on 米兰milan construction of an acute general hospital in 米兰milan Kai Tak Development Area
• Plan for 米兰milan redevelopment of Queen Elizabeth Hospital and 米兰milan Phase 2 redevelopment of Prince of Wales Hospital
• Conduct study on 米兰milan voluntary health protection scheme and consider tax concession for subscribers of regulated insurance products
• Reserve $422 million to study and implement a pilot programme to subsidise colorectal cancer screening for specific age groups
• Increase duty on cigarettes to protect 米兰milan health of 米兰milan people
• Allocate $600 million per year for regularising 米兰milan Elderly Health Care Voucher Scheme and increasing 米兰milan annual voucher value to $2,000

Relief Measures

• Increase 米兰milan allowance for maintaining a dependent parent or grandparent
• Reduce salaries tax and tax under personal assessment for 2013-14 by 75%, subject to a ceiling of $10,000
• Waive rates for 米兰milan first two quarters of 2014-15, subject to a ceiling of $1,500 per quarter
• Provide an extra allowance to CSSA recipients, Old Age Allowance, Old Age Living Allowance and Disability Allowance recipients, equal to one month of 米兰milan respective allowances
• Pay one month’s rent on behalf of public housing tenants

Development of Industries

• Set up an Enterprise Support Programme under 米兰milan Innovation and Technology Fund (ITF) to support R&D activities in private companies, subject to a ceiling of $10 million
• Extend 米兰milan scope of ITF to fund development work and system integration, industrial design, compliance testing and clinical trials, etc
• Grant $24 million each year to six designated universities to provide seed money for R&D projects and encourage their students and teachers to start up businesses
• Develop an interactive portal to pool all stakeholders in 米兰milan startup community to promote inventions and innovations as well as attract funding
• Waive stamp duty on 米兰milan trading of all ETFs to lower transaction costs
• Issue iBond worth up to $10 billion
• Review requirements under Inland Revenue Ordinance for interest deduction in 米兰milan taxation of treasury activities to draw more of these activities to Hong Kong
• Release six sites within 米兰milan “hotel belt” adjacent to 米兰milan Kai Tak Cruise Terminal to develop a distinctive hotel cluster
• Reserve $45 million for providing services and concessions for conventions and exhibitions in 米兰milan coming three years
• Reserve $50 million for strengthening popular tourist events in 米兰milan next two years by, for example, introducing 3D projection mapping technology to help showcase 米兰milan magnificent night view of 米兰milan Victoria Harbour
• Complete 米兰milan midfield development of Hong Kong International Airport in 2015
• Work with Guangdong Province for early achievement of liberalisation of trade in services between Hong Kong and Guangdong this year
• Extend application period for special concessionary measures under SME Financing Guarantee Scheme for one year
• Support retailers on a matching fund basis for 米兰milan use of IT applications and other technologies
• Promote cloud computing applications among SMEs and

Provide them with relevant training

• Reduce profits tax for 2013-14 by 75%, subject to a ceiling of $10,000