Chinese minister arrives in HK, backs economy

Chinese minister arrives in HK, backs economy

HONG KONG, China (Agencies): Foreign Minister Qian Qichen made his first visit to Hong Kong yesterday since the July 1 handover as the territory was embroiled in a scare over a bird flu and mounting fears over the economy.

Qian, making a brief stopover on his return from a trip to South Africa, reiterated China's support for the Hong Kong economy as Asia roughs out major economic turbulence, government sources said.

The sources denied the visit was linked to the bird flu that has killed four people and brought unwanted international attention to Hong Kong.

Qian noted fluctuations in the Hong Kong stock market since the devaluation of the Thai baht last July. The main Hong Kong stock index finished the year 19 percent down from its level on Jan. 1, 1997.

Hong Kong's economic growth is forecast to drop to 4 percent from an earlier estimated 5.4 percent.

Chief Executive Tung Chee-hwa met Qian at Hong Kong Airport and hosted a luncheon for him at Government House, the former residence of British governors in the territory.

Qian met members of Tung's cabinet, the Executive Council, and high ranking officials. The luncheon was also attended by representatives from local political groups, senior businesspeople and community leaders.

Source said Qian was invited to come to Hong Kong when Tung visited Beijing last month.

Imported poultry from China has been blamed for the outbreak of Hong Kong's bird flu, but China has denied detecting any trace of the virus in humans or its chickens.

It has agreed to halt poultry exports to Hong Kong while several countries have banned chicken imports from China. Hong Kong has just destroyed all 1.4 million chickens in the territory in a bid to contain the disease.

Health officials in Hong Kong have also begun testing dogs and cats in the territory for signs of the killer bird flu.

"The study is being extended to other animals," Health Department spokesman Alex Li told Reuters yesterday.

Li gave no details of the testing or whether the animals under study had been strays.

Professor Ken Shortridge of Hong Kong University, which is performing the examinations, said tests on cats and dogs had started "a number of days ago".

Tung and his inner cabinet held a special meeting to discuss the health scare and he later admitted there had been inadequacies in handling the mass killing of chickens.

The government has denied criticism that it was slow to react to the spread of the virus.

Before arriving in Hong Kong, Qian officiated the opening of China's first embassy in Pretoria, after Beijing sealed a major diplomatic triumph with South Africa by persuading it to end ties with Taiwan.

During a five-day visit to South Africa, Qian said the embassy would be responsible for enhancing bilateral links.