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Mr R F W Skilbeck (Defence Department E 104)
FESTIVAL OF HONG KONG 1973
1. I should like to be more positive than is in in the last sentence of paragraph 1 of your minute 5 January. There are at present a number of contentious issues between HMG and the Hong Kong Government on such matters as restrictions on the export of Hong Kong textiles to Britain and the future of the sterling agreement with Hong.Kong. As you know we have in the past had great difficulties over the defence contribution. Anything we can do to sweeten relations if therefore helpful. Whilst I cannot in all honesty say that it is essential for us to make a financial contribution towards military participation in the festival, I do think it is very desirable that we should do so if funds can be found.
5 January 1973
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Mr J Hammond (Finance Dept)
RB Crow HKIOD
DD897261 230443 500M 5/77 GM 144N)