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the Treasury.

The Governor will be in London for discussion from

11-14 September and it may by then be possible to take his views on

the situation as revealed by the Chancellor's second message.

6.

Meanwhile, in any discussion with the Governor, it is important

to make clear that Ministers have not yet decided what to suggest

(and not to elaborate on what might be contained in the Chancellor's

September message). When Hong Kong has seen this message, they can

decide whether they are content or whether they wish to pursue the

sort of ideas outlined during their visit. The FCO would do their

best to see that any discussion of alternatives was carried out with

as little delay as possible.

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