CONCLUSION

Mr Deputy Speaker, Sir, much as I would like to end this Budget Speech on a cheerful note, I feel compelled to remind ourselves of the reality of an expected slowdown in the economy in the later half of the year and the distinct possibility of an increase in trade protectionism. While these outcomes may be beyond our control, the Government has taken definite steps to face the uncertainties.

First, we have rightly focused on our competitiveness. Over the long term, we are upgrading our workforce by investing more in training as well as advocating a system of flexible wage payments. In the short term, we will continue to rely on a pool of foreign workers for the fluctuating labour requirements. The Government will constantly monitor its tax package and statutory charges to ensure that the private sector remains competitive internationally. At the same time, the public sector will also play its part by reducing its utilisation of national resources as well as enhancing its productivity.

Second, we are actively promoting our service sector in the light of increasing competition and protectionism in export markets for manufactured goods. The EDB has already embarked on a substantial programme to develop the service sector whilst the TDB has also stepped up its efforts to promote the export of services. In addition, the Government has also introduced several tax incentives in this Budget to assist service industries.

In conclusion, Mr Deputy Speaker, Sir, I would like to reiterate the fact that the Government will do its utmost in responding to the uncertainties in the economic situation for the coming year. The recent recession has given both our leaders and our people useful experience in overcoming future setbacks. We have proven that we are willing to adapt to changing circumstances and that we can work together as a cohesive people. At the same time, we have not lost sight of our long term goal of becoming a developed nation by the 1990s. I am confident that, with the support of our people, our vision will turn into reality.

Mr Deputy Speaker, Sir, I beg to move.

Mr Deputy Speaker: The Question is, "That Parliament approves the financial policy of the Government fot the financial year 1st April, 1988 to 31st March, 1989." In accordance with paragraph (1) of Standing Order No. 84, the debate now stands adjourned.

Debate to be resumed on what day, Dr Hu?

Dr Richard Hu Tsu Tau: On Monday, 14th March, 1988, Sir.

Mr Deputy Speaker: So be it.