SECRET
Foreign and Commonwealth Office London SW1
DA Walker Esq
HM TREASURY
Telephone 01-
Your reference
Our reference
Date
VED HN
No.51
SEVB 73
KK 5/1
5 September 1973
file
Dear Walker,
لسودا
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REF.
720
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(133)
STERLING AGREEMENTS: HONG KONG
1.
Dee
132
PA
The Governor of Hong Kong is due to call on Mr Royle on 11 September and on the Secretary of State later that week. He will naturally wish to discuss sterling. Whether or not the unilateral Declarations have actually been conveyed to the OSA by then, and assuming that this action will in any case be taken about that time, we think it would be very useful if Mr Royle could inform the Governor of what we shall be offering and give him a copy of Hong Kong's Declaration.
2. In our brief we propose to suggest to Mr Royle that, if the Governor wants to talk about the substance of our offer, he should address himself to the Treasury.
11/TX
3. We also need to consider what, if anything, should be said about the question of reform of the Hong Kong monetary system. Subject to your views, we think it would be better not to prejudice the reception of our general offer by risking offending Hong Kong's sensitivities on this point. However, Mary Hedley- Miller put down a marker about this in her meeting with Haddon- Cave on 10 August, and it might be useful if Mr Royle did so too, perhaps in private conversation. So, if a suitable opportunity arose, the Minister might say that we have continued to give thought to this question and will let the Governor have our views later on, when the immediate activity generated by the expiry of the Sterling Agreements has passed.
4. I should be grateful if you would let me have your views as soon as possible.
مساء
Yams smartly,
R.A. Love
S W Payton Esq OMG, Bank of England
R B Crowson
Hong Kong & Indian Ocean Department
001
[Mr Franklin
Economists Dept
Mr Cambridge FRD
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