The Hong Kong Government has put a generous package of financial measures in place to aid the economy in the wake of the SARS epidemic. Even so, it may not be quite enough to cushion the worst hit sectors, and I am continuing to request extra assistance for some of them.

By far the most important priority, obviously, is to concentrate on preventing the spread of this insidious and as yet unknown virus. World experts are successfully coding and identifying its structure, and while that battle continues the best we can do is to maintain the highest standards of hygiene, while staying calm and keeping a sense of proportion about an illness not as contagious as common-or-garden influenza. Above all, we must prevent the disease from wrecking the economy.

Success on that front depends on the circulation of money. If concessions in rates, water and sewerage, and the partial rebate on salaries tax get the public back into the restaurants, cinemas and shops, everyone will feel the benefit. The $3.5 billion loan guarantee scheme will give breathing space to the retail, tourism, catering and entertainment industries. Chain store owners praised the move, which allows each shop to borrow up to $0.3 million for staff salaries at a 2% interest rate, giving them freedom to use their own money for other necessary business purposes.

In other areas, like the labour-intensive hotel trade with more than one hundred employees who may find the one million loan ceiling insufficient to cover their needs, or many listed companies who could find that their biggest shareholders unwilling to underwrite the personal guarantee required. If that proves to be the case, I will urge the government to consider more short-term assistance to tide them over.

Likewise, tenants in private rented property may need some relief to help them cope. It would be extremely helpful if developers could follow the government's lead in reducing rents on retail outlet properties for the next quarter. They will not be able to match the generous 30-50% given to retail tenants in government property, but this is a situation where every little helps, and even a small reduction can lessen the burden of hard-pressed firms and families at such a crucial time.

Even before SARS hit the city, the cross-party coalition of legislators had been pleading with the government to make concessions by reducing fees and charges to help business in difficult times. It has now been more than generous in reducing rates, water, sewerage and effluent charges and waiving licence fees for catering, retailing and tourism-related businesses.

There are other areas where help can come from the private sector. I have requested the Bank Association of Hong Kong to ask its members to help borrowers (including landlords) who have financial problems due to the SARS crisis. I have asked the HK Monetary Authority to issue guidelines advising banks to adopt relief measures for clients with short-term cash flow problems. That could entail allowing them to pay interest only, and not principal, for a short time.

One helpful measure which the government has so far proved reluctant to adopt, is a temporary reduction in MPF contributions. The Liberal party will continue to urge officials to think again, because this is one move that could have a positive impact on the economy. If payments were reduced to 2% for one year, it would release something like $10 billion into circulation, and that could make a tremendous difference to our financial position.

The proposal has the support of 66 per cent of the 1400 people included in our survey. Only 14 per cent disagreed. Reaction from over 370 companies in the HK General Chamber of Commerce in a second survey showed that 62 per cent agreed to a cut in MPF contributions from 5% to 2% for a 12-month period. The stumbling block to government compliance appears to be the impact this could have on financiers and banks doing MPF business, but I believe most could absorb a reduction for at least a year.

Everything must be done to bolster the economy until life returns to normal. The side-effects of this crisis have closed firms, and sent the jobless total soaring to the point where it may exceed 8 per cent. We cannot allow the situation to worsen. Although Hong Kong appears to be winning, the big fear is that this mutating virus could spread into the remote regions of the mainland where rural poverty and a poor infrastructure could see it run rampant.

The great lesson here is the vital importance of hygiene in both public places and private households. Hong Kong has had brutal reminders of this ever since the bird flu episode, but the latest outbreak shows that there is still some way to go. The hopeful sign is that people now recognise the importance of a litter-free, clean and wholesome environment. Everyone has a part to play in making Hong Kong one of the cleanest and most health-conscious cities in Asia. When we win that reputation, investors and tourists will come flooding back.

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