TRANSPARENCY AND THE HKMA
Transparency means not just visibility, but also accessibility. Complex policies - and the complex politics of Hong Kong - require special efforts on our part.
A few days ago I had a very lively discussion with the chairmen and representatives of Hong Kong's eighteen provisional district boards. We covered a large range of topics, from the importance of the linked exchange rate to the excellent progress made by banks in tackling the Year 2000 problem. This productive exchange of views and insights reminded me of the enormous value of dialogue between government and community, especially in so vital yet so complex a field as monetary and banking policy.
One of the prime responsibilities of any government is to get across to the people it serves the reasoning behind its policies: to explain why, in its opinion, these policies are in the best interests of the community, and to listen carefully to the concerns of the community. A common understanding, fostered through dialogue and explanation, helps to ensure that policies are credible and sustainable, and that they have the support of the community.
This responsibility is a particularly onerous one in Hong Kong, where the important task of explaining policies falls largely on the government itself. There is neither a majority nor even a sizeable minority in the legislature that both enjoys the mandate of the people and speaks up consistently for the government. On practically all issues of significance the Government in Hong Kong has to spend much more time and effort than governments in other jurisdictions to obtain support from the legislature for its policies. This is part of the peculiar nature of Hong Kong's political system that we all have to work within. From another point of view, however, the insights and ideas that emerge through a close working relationship with Legislators can play a crucial role in developing and explaining policies.
In addition to this close working relationship with Legislators, a further way of securing public support for Government initiatives is for the Government to practice a high degree of transparency and to reach out directly to the community. As an integral part of the Government, if not of the civil service itself, the Hong Kong Monetary Authority (HKMA) pays a great deal of attention to this issue, to the extent that it is now one of the most open and transparent central banking institutions in the world. The HKMA produces an abundance of publications documenting events, analysing issues, and offering comprehensive background information on the wide range of subjects under its responsibility. The website that you are now visiting, with its more than 2,000 pages of information, is just one example.
There is, though, a need for further improvement. The many issues surrounding the monetary, banking and financial systems that the HKMA deals with are admittedly complex and technical. But they affect all aspects of the daily life of the community. There is a need for us in the HKMA to be less technical and more straightforward in the presentation of our materials. And, apart from relying on the excellent work done by the media in putting across complex issues in a digestible way, we also have to reach out directly to the community. As part of this additional effort, my colleagues and I have been holding briefings for various professional, community and educational organisations. We shall also be offering similar briefings to community groups at the district level.
But there are often messages that I feel are worth disseminating widely and in a timely manner. Information technology is making rapid progress, and more and more people from all walks of life are using the internet: the HKMA website is itself one of the most frequently visited among the many government websites in Hong Kong. Given this, I have decided, with the support of my colleagues, to run a regular column on the HKMA website. The contributors will include staff members from the HKMA as well as myself, in addition to the occasional guest writer. I hope this will prove useful to the many visitors to our website, whether from Hong Kong or from overseas. And, in the hope that these items will find a still wider readership, I would invite the media to quote this column freely, with or without their own commentaries. Readers are also most welcome to send in, by e-mail, their comments and suggestions for topics for this column.
Joseph Yam
2 September 1999
More information on the HKMA's transparency policy may be found in the HKMA Annual Report for 1998.
Related Articles:
Click here for previous articles in this column
