D
CONFIDENTIAL
105
GRS 165A
PRIORITY
CYPHER CAT A
LAST
REF.
96
REXI
FM FCO 281645Z
REF.
106
CONFIDENTIAL
TO PRIORITY HONG KONG TELNO 1044 CF 28 NOVEMBER, 1974
YOUR TELNO 1105: REPLIES TO PQS.
1. THE FIGURES IN THE TABLES GIVEN IN THE ANSWER UNDER (B) OF YOUR
TELEGRAM UNDER REFERENCE ARE CAUSING US SOME INTERPRETATIVE
PROBLEMS. THE 1973 FIGURE FOR TOTAL ASSETS IN THE FIRST COLUMN
APPEARS TO BE LESS THAN TOTAL OFFICIAL RESERVES AS WE UNDERSTAND
THEM, WHILE THE FIGURE FOR STERLING IN COLUMN TWO IS WELL BELOW
YOUR OFFICIAL STERLING HOLDINGS AS MOST RECENTLY REVEALED IN YOUR
TELNO 1986. SINCE APPROXIMATE FIGURES FOR THE RESERVES HAVE OFTEN
BEEN GIVEN IN PUBLIC (A RECENT ISSUE OF QUOTE THE FAR EASTERN
ECONOMIC REVIEW UNQUOTE GAVE A FIGURE OF £400 MILLION), IT IS NOT
IMPOSSIBLE THAT THE APPARENT DISCREPANCY MAY BE PICKED UP AND
RAISED IN A FURTHER PQ OR IN CONVERSATION WITH MINISTERS, WE NEED
TO BE IN A POSITION TO EXPLAIN TO A LAYMAN. WE COULD UNDERSTAND
THAT YOUR TOTALS MIGHT BE GREATER THAN YOUR OFFICIAL RESERVES,
SINCE THEY COULD INCLUDE ITEMS NOT COUNTED IN THOSE RESERVES: BUT
WE ARE PUZZLED THAT THEY SHOULD APPARENTLY BE LESS, CAN YOU
HELP IF POSSIBLE BY 2 DECEMBER WHEN THERE'S A MINISTERIAL MEETING
0!! HONG KONG.
CALLAGHAN
1
FILES
HRIOD
FRD
PS/LORD GORON NY- ROBERTS
SIRD NATSON
MR MALE
CONFIDENTIAL
COPIES
TO
MR ST KIDD
HK GOUT OFFICE, LONDON