Exclusive | Tai Po fire relief fund to earn interest from fixed deposits: Hong Kong minister
Home affairs chief Alice Mak says government ‘not that foolish’ to leave funds idle after some economists suggest investing money
The HK$4.4 billion (US$564 million) donated for Tai Po fire victims will grow gradually with interest earned from fixed deposits, the home affairs minister has told the Post, adding the money will also fund long-term resettlement.
In an exclusive interview with the Post on Friday, Secretary for Home and Youth Affairs Alice Mak Mei-kuen said the fund’s accountant, the Treasury, had put an “appropriate amount” of the unallocated donated money into fixed deposits.
“Some say, ‘you are just leaving the money here and wasting it, not earning interest,’” Mak said.
“The Treasury, the accountant of the fund, has already placed the appropriate amount of the uncommitted funds into fixed deposits. We are not that foolish.”
Mak was referring to the support fund for Wang Fuk Court residents, which comprises HK$4.1 billion in donations and HK$300 million in seed money provided by the administration.
Around HK$1.2 billion was distributed to affected residents, including HK$600 million on a HK$300,000 rental grant over two years.