Hong Kong Ordinances

TRADING FUNDS ORDINANCE - SECT 3

Establishment of trading funds

(1) The Legislative Council may, on the recommendation of the Financial
Secretary, by resolution establish a trading fund to manage and account for
the operation of a government service for which the Government has the
financial objective that the service shall fund itself from the income
generated from the government service whether it is a service provided to the
Government, to public bodies or to persons other than the Government.

(2) In considering whether to recommend the establishment of a trading fund
for a government service the Financial Secretary is to have regard to the
capability of the provider of the government service-

   (a)  to provide an efficient and effective operation that meets an
        appropriate standard of service; and

   (b)  to have the capacity, within a reasonable time, to meet expenses
        incurred in the provision of the government service and finance
        liabilities to be specified in the resolution out of the income of the
        proposed trading fund. (Enacted 1993)