19 Jun '11, 3pm

Hong Kong finance chief warns on property prices

HONG KONG - HONG Kong's finance chief warned on Sunday that the government may take further measures to curb rising property prices if necessary, local radio said. Financial Secretary John Tsang said he was very concerned with the risk of an asset bubble forming, since property prices have surged past the record levels seen in 1997 prior to the Asian financial crisis, RTHK reported. Mr Tsang said the government would not hesitate to introduce further measures to stabilise the market if necessary. Writing in his blog (www.fso.gov.hk/chi/blog/blog190611.htm), Mr Tsang said market risks continued to heighten and described the current situation of a strong economy, high liquidity and an ultra-low interest rate as 'abnormally prosperous,' RTHK said. Hong Kong has seen property prices surge over the past couple of years due to record low interest rates and a flood of wealthy buy...

Full article: http://www.straitstimes.com/BreakingNews/Asia/Story/STISt...

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