HONG KONG: Chief Executive Donald Tsang Yam-kuen said he still honors freedom of speech and press freedom, despite the recent barrage of criticisms questioning his integrity.

"Hong Kong is such a huge, open economy. In an open society, the freedom of speech is cherished. Freedom of (the) press is cherished. And I will not trade them for anything else on earth. This represents Hong Kong," he told a business lunch yesterday.

Speaking to more than 1,200 businessmen, Tsang said he is sometimes annoyed by criticisms but still accepts them.

"It all depends on the level of complaints and the veracity and sincerity of those complaints. All I can tell you is, occasionally, I'm bothered but I sleep very well," he said.

This came after his last week's defense against media reports which suggested that certain government policies may have benefited or would favor Tsang's relatives.

Last Tuesday, Tsang dismissed the allegations as smears, which he said are attempts to undermine public trust in the administration.

On escalating concerns about the property market, Tsang said authorities' recent move to tighten control on mortgage lending shows that the government wants to avert a big property bubble.

"Recent actions by the Hong Kong Monetary Authority and the financial secretary have shown that we do not want to see a huge property bubble developing in Hong Kong," he said.

"Any bubble is not healthy for the long-term development of the property market, or the economy as a whole," he added.

Tsang said the government is keeping a close watch on price movements and has tools available to stabilize the market.

He did not name the measures but said actions will only be prompted by a need for stability, transparency and smooth market operations.

He said authorities are studying how to increase the transparency of the release of property information.

Last month, the Monetary Authority cut the mortgage limit on property worth HK$20 million or more to 60 percent of the property's value from 70 percent.

On the upcoming public consultation about the political reform for 2012 elections, Tsang urged business leaders to share their insights when the exercise starts later this month.

"We cannot afford to miss another opportunity to advance our democratic systems, as we sadly did in 2005. 2010 is the next opportunity we get to make progress," he said.

Lawmakers rejected Tsang's political reform package in 2005.

The post-policy address luncheon was held by major chambers in the city, including the Hong Kong General Chamber of Commerce.

(HK Edition 11/03/2009 page1)