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CONFIDENTIAL

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PS/Lord Belstead

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HONG KONG : GOVERNOR'S ANNUAL ADDRESS TO THE LEGISLATIVE COUNCIL

1.

18/10

On 6 October, Sir E Youde for the first time opened a new

session of the Legislative Council of Hong Kong and delivered the

Governor's annual address. This is by tradition a 'state of the

nation' speech in which the Governor assesses the current situation

in the Territory and then looks ahead, outlining major Government

programmes for the future, and in particular for the forthcoming

year. (Copy already sent to you.)

It was

2. This year, the address was particularly important.

Sir Edward's first. It came moreover a week after the Prime

Minister's visit, at a time when there was widespread uncertainty in Hong Kong about the future of the Territory and when there had been considerable falls in the Stock Market and the value of the Hong Kong dollar. Sir E Youde's speech, a copy of which has already been sent to PS/Lord Belstead, emphasised that the policies and programmes of the Hong Kong Government were, in his own words,

'imaginative, ambitious and forward-looking', and reaffirmed his and HMG's confidence that an agreement could be reached on the future of Hong Kong that 'will be acceptable to China and Britain and which will be welcomed by the people of Hong Kong'.

As can

be seen from the attached editorials, the speech was well-received

attached in Hong Kong.

I

3. In the circumstances, Lord Belstead may wish to consider sending a personal letter of appreciation to Sir E Youde.

attach a draft.

15 October 1982

cc Mr Donald

Бир

R D Clift

Hong Kong and General Department

CONFIDENTIAL

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