July 15, 1977

Mr. C. P. Haddon-Cave Finnucial Secretary Government Secretariat Lower Albert Road

Hong Kong

Dear Mr. Hadden-Cave;

Enclosed are two copies of the economic report entitled "The Evolution of Economic Policy in Hong Kong". Seventy-five additional copics are being air freighted to you, and a dozen copies are being transmitted to the U.K. Government through the Executive Director's Office.

The report has been revised extensively to take into account the 1977 Budget Speech and the comments of the Hong Kong and V.K. Govero- ments, as well as those of Bank reviewers. A summary of the conclusions and recommendations has been added as Chapter Six.

This version of the report has been prepared for the use fo the Uang Kong Government. However, as the Bank tries to give such reports a wider circulation in order to encourage an interchange of knowledge about economic development, in reviewing the report, you may wish to consider whether it would be useful to distribute a subsequent version to a larger audience. We could, perhaps, discuss this at the Bank-IF Annual Hectings in September.

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Ted llawkins, who is presently in Viet Nam, may stop over in Hong Kong briefly and will get in touch with you, if he does.

Best Regards.

Yours Sincerely,

Gregory B. Votaw

Director, Country Programs Department East Affa and Pacific Regional Office

Attachment

cc: Messrs. Dear Hasan, Hawkins (o/r), Loos, linkly, Bovet

See Anwere "B"

52)

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