The Financial Secretary announced in the 2013-14 Budget Speech to set up a working group to explore ways to make more comprehensive planning for Hong Kong's public finances to cope with the ageing population and the Government's other long-term commitments.
The Working Group on Long-Term Fiscal Planning, led by the Permanent Secretary for Financial Services and the Treasury (Treasury), was set up in June 2013. The Working Group comprises government officials and non-official members who are scholars and experts with vast experience and rich knowledge in their professions/sectors such as economics, accountancy, financial services and actuary services. The current membership of the Working Group is as follows:
|Ms Elizabeth Tse||Permanent Secretary for Financial Services and the Treasury (Treasury)|
|Professor Liu Pak-wai||Research Professor
Institute of Global Economics and Finance
The Chinese University of Hong Kong
|Professor Francis Lui||Professor of Economics and Director of Center for Economic Development
The Hong Kong University of Science and Technology
|Mr Mark Saunders||Group Chief Strategy and Corporate Development Officer
AIA Group Limited
|Mrs Jennifer Wong||Former Partner
|Mr Marcellus Wong||Senior Adviser
|Mr Martin Siu||Director of Accounting Services|
|Mrs Helen Chan||Government Economist|
|Ms Esther Leung||Deputy Secretary for Financial Services and the Treasury (Treasury)1|
|Ms Susanna Cheung||Principal Assistant Secretary for Financial Services and the Treasury (Treasury)(H)|
The academic qualifications/professional qualifications/professional experience of the members of the Working Group are available here.
The objective of the Working Group is to assess, under existing policies, the long-term public expenditure needs and changes in government revenue, and to propose feasible measures with reference to overseas experience.
The Working Group has completed a fiscal sustainability appraisal on the public finances in Hong Kong and released its report on 3 March 2014. The report can be downloaded here.
A tool to illustrate various projections under different macroeconomic assumptions and expenditure scenarios is available here.
Similar studies overseas for reference
Other economies and some international organisations have also conducted similar studies on fiscal sustainability on public finances, examples are:
The 2010 intergenerational report, The Treasury, Australian Government
Economic and Fiscal Implications of Canada’s Aging Population, Department of Finance, Canada
Third Report on the Sustainability of Public Finances, Federal Ministry of Finance, Germany
Ageing and the sustainability of Dutch public finances, CPB Netherlands Bureau for Economic Policy Analysis, Netherlands
Challenges and Choices: New Zealand’s Long-term Fiscal Statement, The Treasury, New Zealand
Long-term Perspectives on the Norwegian Economy 2013, Ministry of Finance, Norway
From the Budget Bill for 2008: Sweden’s Economy, Ministry of Finance, Sweden
2012 Report on the Long-Term Sustainability of Public Finances in Switzerland, Federal Department of Finance, Switzerland
Fiscal sustainability report – July 2013, Office for Budget Responsibility, the UK
The Federal Government’s Long-Term Fiscal Outlook, United States Government Accountability Office, US
Report on Public finances in EMU 2013, European Commission
International Monetary Fund (IMF)
The Organisation for Economic Co-operation and Development (OECD)