Tung was seeking to allay fears that legislating Article 23 of the Basic Law may undermine civic rights and freedom in Hong Kong.

He told lawmakers at a question-and-answer session in the Legislative Council that the government respects the rights of assembly and demonstration but over-politicized acts bode ill for Hong Kong.

This will leave an impression that Hong Kong is a polarized society and overseas investors will keep a wary eye on the SAR, Tung explained.

On apprehension in some sectors over the implementation of Basic Law Article 23, the chief executive said the fears are similar to people's pre-handover jitters.

"Before the handover, people expressed worries about freedoms and civil rights. But six years on, it is plain for all to see that the civil rights and freedoms previously enjoyed are properly protected. Those who have misgivings about Article 23 will live to see their rights and freedoms will not be eroded."

The international situation is in a state of flux, Tung said, adding that terrorism is still rearing its ugly head and there are still many uncertainties.

"National security is something that we cannot trifle with," Tung said. "Maintaining national security is a sacrosanct duty of everyone in Hong Kong, and it is also a constitutional duty under the Basic Law. Article 23 is an essential task under the Basic Law, and the majority of Hong Kong people identify with the task of maintaining national security."

The chief executive also told the legislators that tourism is expected to be booming again in the fourth quarter of the year, or the first quarter of next year. He said he is optimistic about an upsurge as mainland tourists are expected to flock back to Hong Kong in the third quarter.

The chief executive said that the government's relief measures for the tourism, catering, retail and hotel sectors, launched in April, should help re-spark the industries.

The chief executive added that the Closer Economic Partnership Arrangement with the mainland will also bring a lot of business opportunities.

According to the government information service, Premier Wen Jiabao will arrive in Hong Kong on June 29 for a three-day visit. He will witness the signing ceremony for CEPA and attend celebrations marking the sixth anniversary of the establishment of the Hong Kong SAR.

(China Daily June 27, 2003)