The Capital Investment Entrant Scheme has brought Hong Kong $36.6 billion in investment since October 2003, including $10.4 billion in property purchases, Secretary for Security Ambrose Lee says.

Mr Lee told lawmakers today the figure is less than 1% of the total trading volume in the property market in the same period, thus has no significant impact on real estate prices which depend primarily on factors like demand and supply, interest rates and the investment environment.

A total of 5,604 principal applicants have so far been granted formal approval to come to Hong Kong under the scheme while 53 applications have been refused due to failure to satisfy the asset requirements.

Up to November 22 the annual application figure jumped from 465 in 2004 to 2,997 this year, indicating the scheme's attractiveness to investors.

"Assuming each approved applicant represents one household arriving in Hong Kong, this would amount to just 0.2% of Hong Kong households. Hence, the impact on the disparity between the rich and the poor is limited," Mr Lee said.

The scheme will directly or indirectly benefit different local sectors, especially the construction and decoration work industry, property agencies, financial and business services, while investors and their dependants contribute to local consumption and related economic activities creating job opportunities, he added.