Question time: Chief Executive Donald Tsang takes questions from legislators on his 2008-09 Policy Address.

Chief Executive Donald Tsang urges Hong Kong people to stay positive amid the global financial turmoil, saying the situation may bring about many opportunities.

Attending the Legislative Council question-and-answer session today, Mr Tsang said it is difficult to accurately predict what the impact of the global situation on Hong Kong will be, so the community should not be too pessimistic at this stage.

He said despite changes in the external environment, he will continue to honour his pledge to lead the economy through infrastructural development.

"Most of the 10 infrastructural projects I proposed last year are making good progress. Pushing the economy forward through large-scale infrastructural works is turning out to be more important during hard times," Mr Tsang said.

Besides the West Kowloon Cultural District works, the $60 billion projects can generate up to 250,000 jobs, improving the employment situation and raising GDP by up to 7%. He said the Government will expedite works as far as possible, and explore other possibilities in areas like innovative technology, creative and traditional industries.

Other issues

Rejecting claims the Government is cutting education resources, Mr Tsang clarified spending is increasing in this area, which uses a quarter of public expenditure.

He said with the implementation of the new senior secondary curriculum together with assessment changes, and 15-year fully subsidised education, it is best not to introduce more reforms or policies in the school sector now.

On the finance front, Mr Tsang said the Government will check if criminal elements are involved in the Lehman Brothers minibonds incident and treat the matter seriously. He said the Monetary Authority can help mediate cases which can be settled outside of court.

On the Old Age Allowance, Mr Tsang said any rise in the amount will require a long-term financial commitment for the coming generations. As a responsible government, he said the administration must thoroughly consider the sustainability and the consequences of such a policy.