HWB. 21/5.
NOTE
CROSS HARBOUR TUNNEL HONG KONG
S
Whatever the economic/social merits of this project it has
become invested with great political significance because of the
disturbances and is now widely regarded in the Colony as a test case
of local and outside confidence in Hong Kong's ability to withstand
the Communist challenge. The disturbances have also increased the
project's importance on security grounds in that a tunnel would be
much less subject to disruption than is the present Cross-Harbour
ferry. For these reasons, it is considered essential that the
tunnel be built.
2.
Public confidence in Hong Kong requires British participation
in financing the project; if such support is not forthcoming, it
will be assumed that London has written Hong Kong off.
3. The promoters and the Hong Kong Government have previously
rejected proposals that they should give the guarantee that
E.C.G.D. requires, but it is considered that if H.M.G. are to become
involved, then it is reasonable for the promoters and the Hong Kong
Government also to shoulder part of the guarantee responsibility.
A 50 - 50 division between Hong Kong and the British Government is suggested, with the Hong Kong element being divided between the
Government and the promoters.
4.8
15 August, 1967.
This pater
was considered at
a weeking on lved. 16 Aug
altended by
Messis Carter (Chairman), Hewitt, Moris (BoT), Duchhe (Elis) Lucas (Treasury)
• Swich (CFPD, Co).
kw/22/8.