18
Mrs M E Hedley-Miller
HM Treasury Treasury Chambers Parliament Street
London
SW1P 3AG
Dear Mary
May,
IMF: Hong Kong
BANK OF ENGLAND
Threadneedle Street
London
EC2R 8AH
18 March 1981
к
Kič (Pozzlı
RECEIVED IN REGISTRY NO. &
24 MARIVOn
DESK OFFICER
INDEX
Mr. Jul
No/MS
PA
In Mea cires
спих TSAY nom
Gfree
R
Action Taken
Ah
J
tut
HK
And be said t
I refer to Lionel Price's letter] to you of 10_March_asking whether Habermeier could usefully make calls when he passes through Hong Kong on 3/6 April during his visit to the Far East to sell IMF paper.
Our conclusion here is that such a call would be premature and it would be better to leave this alone.
It so happens that while commenting on Hong Kong's sterling balances policy very recently we have offered them, on a personal and informal basis, the thought of acquiring SDR-denominated assets; but at the same time we have said that we are not trying to influence the investment of their reserves in that way nor are we salesmen of SDRS. We have not had any positive response and we certainly cannot say that Hong Kong has an interest in buying Fund paper.
We feel it would look rather too pushy more aggressive than we wish to be if we now seemed to be encouraging Habermeier to approach
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the Hong Kong authorities as soon as this. We would also be in danger of misleading Habermeier.
The only thing left is that if Habermeier happened to make contact off his own bat we could hardly object but he is a cautious man and I do not think he would wish to do that.
I am sending copies of this letter to Lionel Price and Nicholas Bayne.
Yours ever
Ron Gilchrist
1.