at US drug company Pfizer Inc. before joining the civil service. Tsang joined the Civil Service as an Executive Officer in January 1967 and held many positions dealing with local administration, finance, trade and policies relating to the return of Hong Kong to China. In 1977, Tsang was attached to the Asian Development Bank in Manila for a year and worked on water supply and railway development projects in the Philippines and Bangladesh. He was subsequently sent by the government to complete a master's degree in public administration from the John F. Kennedy School of Government of the Harvard University in 1981. Tsang was responsible for implementing the Sino-British Joint Declaration, signed in 1984 to decide the Hong Kong's sovereignty to be transferred to China in 1997, and the promotion of the British Nationality Selection Scheme as Deputy Secretary of the General Duties Branch between 1985 and 1989. In 1989, he was appointed Director of Administration to oversee the functioning of the Government Secretariat. In 1991 he became Director-General of Trade and in charge of all facets of trade negotiation and administration affecting Hong Kong. In May 1993, he was promoted to Secretary for the Treasury, responsible for the overall resource allocation, the taxation systems and the cost effectiveness of the Hong Kong government. Financial Secretary In September 1995, Tsang was appointed Financial Secretary, becoming the first Chinese to hold the position in 150 years of colonial history. He went on to become the first Financial Secretary in the Hong Kong Special Administrative Region on 1 July 1997. Shortly before the handover, he was knighted by Prince Charles at the Government House in June 1997. During his term as Financial Secretary, Tsang coined the term "caring capitalism" in 1996, which describe the governments's approach of giving priority to economic growth and then using the new-found wealth to develop social infrastructure and welfare services. Hong Kong's public spending grew steadily as public revenue remained robust and government budget in surplus. Public expenditure to GDP rose to as high as 23%, though still the lowest among developed economies. He also approved a raise in civil servants' salaries at the beginning of the Asian economic crisis. The salary raise was finally reversed, aligning civil servants' salaries to 1997 levels. Tsang was known for his role in defending the Hong Kong dollar's peg to the US dollar during the Asian financial crisis in 1998