4. The small boat refugees problem is much more

difficult, and to solve this we will have to rely

heavily on the diplomatic action undertaken on our

behalf by Her Majesty's Government and in support of

UNHCR which I have already mentioned.

5. Her Majesty's Government is also supporting the

Hong Kong Government in its appeals to other countries

to increase the number of resettlement places available

in third countries. Her Majesty's Government set a

welcome lead in January by offering to receive 1,000

refugees from Hong Kong. Most refugees regard the

USA as the resettlement country of first choice and

and to date the US authorities have provided by far

the majority of resettlement places. For this reason

we remain in close touch with the US Consulate

General and with the American Government through

diplomatic channels in Washington. We also ensure

that no opportunity is missed to make representations

to visiting American Ambassadors, Congressmen and

officials.

6. Despite these efforts the response from most

other countries has been disappointing. We, therefore,

welcome the Minister of State's declaration in the

House of Commons on 17th May that Her Majesty's

Government will pursue all possible opportunities

for increasing the rate of resettlement of refugees

from Hong Kong and will keep the matter under careful

review. Resettlement is not a problem for Hong Kong,

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