Mr Evans
CONFIDENTIAL
MRK 02012
36A
Ar Giffard
Lord
Brydges.
(32
Pans 17/6
HONG KONG SUPPORT FOR HMG IN THE FALKLAND ISLANDS CRISIS
1.
He
I have discussed the submissión below with Mr Giffard.
and I would value a view from the economic side of the Office
about the best way of handling the possible offer of £20 million in the form of a gift from the Hong Kong Government, assuming that the Hong Kong Government were so to decide.
2.
Lord Bridges expressed some interest the other day and I
had the impression that he felt we should not lightly turn down
a possible offer of such a sum of money. On the other hand, as
you will see from the minuting and the telegrams, Hong Kong and
General Department and I have considerable reservations about
getting HMG beholden to the Hong Kong Government at a time when
we have had a lot of trouble with them over the Nationality Act
and when the problem of the future of Hong Kong is large in people's minds.
3. The Chinese Government's view of the Falklands crisis is
that it is a problem (like Hong Kong) which is left over from history and should be settled peacefully. Initial Chinese press
comment took the side of the Argentinians but it has been more
balanced recently.
4. For the time being, the Governor has forestalled action on
this but it is possible that there may be a leak in Hong Kong
of the approach made by the senior Unofficials. In any case they
may revert to the idea at a later stage and we need to have some
ideas. There may well be suitable projects once peace has been restored in the South Atlantic (such as the provision of a cargo
or tourist vessel, which might be built in British yards and help with our unemployment problem). On my side of the house we would still argue the political dangers of accepting a sum of money from the Hong Kong Government but it would be useful to have
your views.
Astonald
A E Donald
27 May 1982
CONFIDENTIAL
/I decided